SEOUL, Dec. 30 (Korea Bizwire) – A former head of Hanjin Shipping Co. was indicted Friday on charges that she illegally sold company stocks using insider information to avoid losses.
The Seoul Southern District Prosecutors’ Office said Choi Eun-young is accused of selling stocks of the financially troubled Hanjin Shipping in April after obtaining information that the company will go through a creditor-led debt restructuring.
The stock sale was completed a few days before Hanjin Shipping, long troubled by an industry slump and ballooning losses, decided to apply for a creditor-led debt revamp and a self-rescue program.
Hanjin, one of the world’s leading container carriers, filed for court receivership in late August amid multi-billion-dollar debts.
Choi currently heads Eusu Holdings Co. which separated from Hanjin Group in May 2015. It has shipping-related units under its wing.