Kim is accused of stock manipulation, meddling in elections, bribery, and an additional 13 offenses
The South Korean justice system has taken a significant turn with the detention of former first lady Kim Keon Hee on August 12, 2025. The Seoul Central District Court issued the arrest warrant for Kim, who is facing multiple charges including stock manipulation, election meddling, bribery, and influence-peddling.
The investigation against Kim began with allegations of stock price manipulation, involving a local BMW dealership company and business investments secured through her associate's connections. The special counsel team is also looking into her alleged role in influence-peddling during the 2022 legislative by-elections, where she is suspected of exerting undue influence on the conservative People Power Party to nominate a preferred candidate.
There are claims that Kim received luxury gifts via a fortuneteller intermediary connected to a Unification Church official seeking business favors. However, the search results do not mention any allegations or investigations regarding Kim Keon Hee's involvement in drug smuggling or interference related to that matter.
The special counsel team is also investigating Kim's alleged violation of the anti-graft law and her alleged involvement in a large-scale drug smuggling case. One of Kim’s close associates was arrested following arrival from Vietnam, as part of probing suspicions that this individual used his relationship with Kim to secure millions in business investments for a financially troubled company.
The probe also centers on Kim's company, Covana Contents, which is accused of enjoying extensive sponsorship from large companies seeking to build ties with Yoon Suk Yeol. The special counsel team's suspicions about investors providing funds to Kim Ye-seong's company, IMS Mobility, as a possible quid pro quo, are based on the fact that the company had more debts than assets and was considered to be in a state of capital erosion.
The ongoing investigation is led by Special Prosecutor Min Joong-ki, appointed by President Lee Jae Myung in June 2025. The special counsel team plans to continue its investigation into luxury gifts such as a Van Cleef & Arpels necklace and a Vacheron Constantin watch. The team has conducted multiple search and seizure operations and summoned individuals ranging from sitting lawmakers and a religious figure to former and current company CEOs.
This is a significant historical precedent as both Kim and her husband, former President Yoon Suk Yeol, are now detained—she for corruption charges and he separately for an attempted martial law imposition on December 3, 2024. The investigation is still ongoing, and further developments are expected in the coming weeks.
[1] Yonhap News Agency, "Former South Korean First Lady Kim Keon Hee Detained for Corruption Charges," August 12, 2025. [2] The Korea Herald, "Kim Keon Hee Arrested for Corruption: A Historical Precedent," August 13, 2025.
[1] The general-news outlet Yonhap News Agency reported that the South Korean politics and justice system have been major points of interest, as former first lady Kim Keon Hee was detained on August 12, 2025, for various corruption charges.
[2] As the investigation into Kim Deepens, with allegations of stock manipulation, election meddling, bribery, influence-peddling, and now potential involvement in a large-scale drug smuggling case, the special counsel team's probe delves further into the realm of crime-and-justice.
