The Korea Exchange’s Kosdaq Market Division said in a public disclosure on Wednesday that it has added a reason to review whether to delist SillaJen due to alleged embezzlement of former CEO of the company.
The disclosure came after the prosecution of the Seoul Southern District Prosecutors’ Office against Moon Eun-sang, the former CEO of SillaJen, on charges of violating the Act on the Aggravated Punishment, etc. of Specific Economic Crimes.
The prosecution said Moon is believed to have embezzled more than 6 billion won ($4.9 million) in company money, which is equivalent to 10.72 percent of his equity capital.
SillaJen disclosed former executives’ embezzlement charges on May 8 and June 3, respectively.
KRX decided Friday to review the possible delisting of SillaJen.
“For this matter, we will take a measure under legitimate procedures,” SillaJen said.