Appellate court reverses acquittal on stock manipulation
An appeals court in Seoul increased the prison sentence for Kim Keon Hee, wife of ousted President Yoon Suk Yeol, to four years on Tuesday, more than doubling her original 20-month sentence from a lower court. The Seoul High Court reversed a February acquittal on stock price manipulation charges, finding that Kim participated in manipulating the price of Deutsch Motors, a thinly-traded Korean stock, with multiple traders.
The appellate court also convicted Kim on a second bribery count related to gifts from the Unification Church. She now faces a 50 million won fine in addition to imprisonment, and the court ordered confiscation of a Graff diamond necklace valued at roughly $55,000.
Gifts from the church and political favors
The court found that Kim accepted two Chanel bags and the Graff necklace, totaling approximately 80 million won, from the Unification Church while knowing the controversial religious organization expected political favors in return. A lower court had convicted her in January of receiving a Graff diamond necklace and a Chanel bag from the church, but acquitted her of the stock manipulation scheme.
The lead judge stated that Kim "exerted her influence as first lady and committed the bribery" and that she "damaged public trust in government transparency and caused a rift in public opinion over national affairs." The court also found her guilty of illegally backing a candidate in a 2022 by-election, though it cleared her of separate election law violations.
Yoon's vetoes shielded his wife from investigation
While Yoon held office, he repeatedly used his presidential veto to block investigations into Kim's alleged misconduct. The opposition party put forward three bills seeking investigations into allegations surrounding Kim, each of which Yoon rejected. His final veto came in November 2024, just one week before he declared martial law on December 3.
That martial law declaration led to Yoon's impeachment and removal from office. He was convicted of rebellion in February and sentenced to life in prison for mobilizing military and police forces in an illegal attempt to seize the National Assembly and arrest political opponents.
Defense team signals further legal battle
Kim's lawyers announced they would appeal the ruling to the Supreme Court. Independent counsel Min Joong-ki's team had requested a 15-year sentence, while Kim's defense team argued that the investigation was politically driven. Kim has been in jail since August, when a district court approved an arrest warrant citing the risk she might destroy evidence.
The sources also report that the Graff necklace and two Chanel bags were valued at around 80 million won, approximately €46,000 or $55,000.