Acknowledges trading shares through aide's brokerage account

Lee says he had no intent to evade asset disclosure rules

Four gift-givers admit charges at same hearing

Independent lawmaker Lee Chun-seok arrives at Seoul Southern District Court in Yangcheon-gu, Seoul, on Wednesday for the first hearing of his trial on charges of trading shares through a nominee account registered to his aide. [Yonhap]
Independent lawmaker Lee Chun-seok arrives at Seoul Southern District Court in Yangcheon-gu, Seoul, on Wednesday for the first hearing of his trial on charges of trading shares through a nominee account registered to his aide. [Yonhap]

Independent lawmaker Lee Chun-seok denied the main charges against him at the opening hearing of his trial over allegations that he traded shares using a nominee brokerage account.

Seoul Southern District Court Judge Han Jeong-seok presided over the first hearing Wednesday in the case against Lee, who faces charges including violations of the Financial Real Name Act, the Electronic Financial Transactions Act, the Public Service Ethics Act and the Anti-Graft Act.

Lee is accused of trading shares in March 2020 and June 2024 through a brokerage account registered in the name of an aide surnamed Cha, and of receiving a mobile phone with a brokerage app installed along with its password.

Lee's defense acknowledged that he had borrowed the aide's brokerage account to trade shares after losing his seat in a general election, saying he had taken up trading "to relieve the boredom of being out of office." However, the defense denied the Financial Real Name Act violation, arguing Lee had no unlawful intent to evade asset disclosure obligations.

The defense also acknowledged that Lee had borrowed the phone and its password but denied the Electronic Financial Transactions Act charge, saying there was no criminal purpose. It further argued that Lee had not violated his obligation to sell or place shares in a blind trust because the stocks he held were in companies unrelated to his official duties.

Lee also faces charges of receiving a total of 29 million won ($21,600) from four acquaintances in 2021, while serving as secretary-general of the National Assembly, in the form of condolence money for his mother's funeral and congratulatory gifts for his daughter's wedding.

The defense admitted receiving the money but argued that 20 million won of it was payment for legal advice Lee had provided as a practicing attorney. The acquaintance who gave that 20 million won, identified only by the surname Park, admitted the charges, saying the money was given out of regret for missing Lee's mother's funeral and to celebrate his daughter's wedding. The three other acquaintances also admitted their charges.

Prosecutors sought fines of between 2 million and 20 million won against each of the four gift-givers. In their final statements, the four said they had given the money out of longstanding friendship and only later realized the amounts exceeded the legal limit, appealing for leniency.

Lee addressed the court directly, saying he was "sorry to be standing in a courtroom as a public official" and that "the full responsibility for my poor judgment rests with me alone — whatever the outcome, I will accept it calmly."

Lee added that the case "was classified as a political matter and the investigation expanded," drawing in people close to him. "Two aides, friends and colleagues of mine have ended up in court alongside me because of this. They did nothing wrong. The fault is entirely mine," he said.

The next hearing for Lee, his aide and his senior secretary is scheduled for Dec. 23 at 11:10 a.m.


newday@heraldcorp.com