South Korea’s First Lady Questioned in Luxury Gift and Stock Manipulation Scandals

SEOUL - South Korean prosecutors interrogated First Lady Kim Keon Hee over allegations involving the receipt of a luxury handbag and other gifts, as well as her supposed involvement in a stock manipulation case. The questioning session, which lasted approximately 12 hours, occurred at an undisclosed government facility on Saturday, ending around 1:20 a.m.

According to Yonhap News Agency, the allegations center on Kim receiving a Christian Dior handbag valued at roughly 3 million won (US$2,175) and other expensive items from Pastor Choi Jae-young in September 2022, purportedly in exchange for favors. Additionally, Kim's aide has claimed that although Kim ordered the handbag to be returned on the day it was received, it was inadvertently not returned due to other pressing engagements.

Furthermore, the questioning also covered her alleged involvement with Deutsch Motors Inc., a BMW dealership in South Korea, where she is accused of participating in stock manipulation activities. This case relates to accusations that Kwon Oh-soo, the former head of Deutsch Motors, along with other influential market players, manipulated the company's stock prices between December 2009 and December 2012. Despite sending a written questionnaire to Kim last year, prosecutors noted they had not received the necessary responses. Kwon is currently awaiting a sentence from an appellate court, scheduled for September, following a suspended prison term issued by a district court.