Korea Exchange official found dead

By Na Jeong-ju

A Korea Exchange (KRX) employee, who had been under investigation for leaking crucial corporate information before a public disclosure, was found dead last week in an apparent suicide, police said Wednesday.

The 51-year-old official, surnamed Lee, alleged sold information from KOSDAQ-listed firms to stock investors before such information was made public. Lee was able to access the information 10 minutes ahead of planned disclosures.

It’s the first time that a KRX staffer had been investigated for leaking information. The case has dealt a serious blow to the credibility of the exchange. An initial investigation showed he had leaked information more than 200 times for four months since April.

The information he stole was about mergers, acquisitions, investments and other crucial deals that could affect the stock prices of the concerned firms. The exchange didn’t reveal the names of the companies.

Lee’s financial transaction records showed he himself engaged in stock trading just before and after the disclosures to earn illegal gains.

His body was found near a riverside military post in Gimpo, Gyeonggi Province, by a soldier on Saturday morning, police said. No external injuries were found.

Police suspect he committed suicide by jumping off a bridge into the river a couple of days ago. He left no note.

The KRX said Lee disappeared early this month after it launched a probe based on a report from an investor.

The agency suspects Lee might have been selling the stolen information to traders.

“An investigation is currently under way to find who bought the information from Lee,” an official said, refusing to give further details.