Naver CEO likely to face probe for dodgy stock trading

[THE INVESTOR] The head of Internet giant Naver who is in the hot seat for his alleged involvement in making illegal profits from game developer Nexon’s 2006 initial public offering is likely to be summoned by prosecutors soon.

Naver CEO Kim Sang-hun reportedly made profits with inside information for Nexon’s IPO with borrowed money. 

Kim, prosecutor Jin Kyung-joon and Park Seong-joon, a director of Boston Consulting Group, purchased shares valued at 425 million won ($373,575) of the then-unlisted game firm in 2005 a year before it went public.

The game firm lent the money to the three and received no interest from them.

“If a borrower does not return due interest to a lender, it can be akin to bribery in a way,” an official in a legal sector said.

Kim has been questioned by the prosecution as a testifier, but some critics expect that he can be called in for a probe down the road.

By Kim Young-won (wone0102@heraldcorp.com)