Paul Yoo, former CEO of Lone Star Korea, has appealed to the Supreme Court against Seoul High Court’s Oct. 6 verdict that he engaged in manipulation of Korean stocks in 2003.
But the appeal is only related to his individual case and not the financial authorities’ ongoing probe into U.S.-based Lone Star Funds for its eligibility as the biggest shareholder of Korea Exchange Bank, according to regulatory officials.
Yoo was sentenced to three years in prison, while the U.S. buyout fund was fined 25 billion won ($21 million) for manipulating stocks of KEB’s credit card affiliate last Thursday.
“His personal appeal is unconnected with our review on Lone Star’s shareholder eligibility,” said an official at the Financial Services Commission.
He said the appeal also does not affect the FSC’s earlier stance that the fund could be ordered to sell 41.02 percent of its total 51.02 percent stake in KEB due to the guilty verdict.
The U.S. fund is allowed to appeal to the Supreme Court before midnight on Oct. 13.
(
kys@heraldcorp.com)
