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Friday, February 1, 2008

Korea jails Lone Star executive

Texan private equity firm Lone Star has been found guilty of stock price manipulation by a South Korean court.

The Seoul court fined the Dallas-based company $27m (£13.6bn) and sentenced Paul Yoo, the head of its Korean unit, to five years in prison.

In 2003, Lone Star bought a 51% stake in Korea Exchange Bank (KEB), which was also fined $27m by the court.

Prosecutors charged Mr Yoo with driving down the stock price of KEB's former credit card unit by spreading rumours.


http://news.bbc.co.uk/2/hi/business/7221510.stm

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