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(Photo=Mirae Asset Securities) |
[Alpha Biz= Reporter Kim Jisun] Financial authorities have determined that Mirae Asset Securities was involved in facilitating preferential fund redemptions for certain investors in the Lime Asset Management scandal.
As a result, the Financial Supervisory Service (FSS) imposed a fine of 50 million won on Mirae Asset Securities. However, no further penalties, such as a business suspension or institutional warnings, were imposed on the company.
On the 5th, the FSS announced that the Securities and Futures Commission, under the Financial Services Commission (FSC), concluded on the 29th of last month that Mirae Asset Securities had used improper methods to conceal illegal transactions by investors. The 50 million won fine imposed was higher than the initial 40 million won penalty suggested by the FSS before it was presented to the commission.
The incident traces back to 2019, when Lime Asset Management's fund faced financial difficulties. According to the FSS, investors in two of Lime's funds were unable to redeem their investments. In response, Lime Asset Management invested its own assets into the two funds, allowing certain investors to recover part of their funds. This sparked a controversy, particularly after it was revealed that Kim Sang-hee, a Democratic Party lawmaker, was among those who received redemptions. Kim had invested 200 million won in the Lime Martini Fund No. 4 and recovered 164 million won.
The issue arose when Mirae Asset Securities opened accounts for Lime Asset Management to facilitate these fund transactions. Mirae Asset Securities defended its actions, stating that it trusted Lime Asset Management to choose a lawful transaction structure. They also argued that other asset management firms had similarly subscribed to their own funds to respond to investor redemption requests, not just Lime Asset Management.
AlphaBIZ Kim Jisun(stockmk2020@alphabiz.co.kr)
