South Korean prosecutors seek six-month prison sentence for former Kim Nam-gyeok lawmaker for ”deliberately failing to report 6 billion won coins”

Prosecutors are seeking a six-month prison sentence for Kim Nam-gook, a former lawmaker from the Democratic Party of Korea, the largest opposition party, on suspicion of filing false National Assembly asset reports to conceal huge amounts of cryptocurrency.
During a hearing held on the morning of the 18th under Judge Jeong Woo-yong of the Criminal 9 Exclusive at the Seoul Southern District Court, the prosecution asked for a six-month prison sentence for Kim.
Former Rep. Kim was indicted without detention in August last year on suspicion of obstruction of justice through fraudulent means. He twice, in 2021 and 2022, declared his assets in coin investments when filing his tax returns as a member of the National Assembly.
In order to hide the huge profits he made, he transferred part of the deposit in his virtual currency account to a bank account just before the asset declaration date (December 31st of each year). This adjusted the total amount of his assets.
He is suspected of obstructing the National Assembly's Public Officials Ethics Committee's review of changes in assets by converting the remaining deposit into coins.
At the trial, the prosecution said, "The defendant had the intention of not declaring the coins he owned.
He also said, "He obstructed the investigation of the assets of National Assembly members by the National Assembly Public Officials Ethics Committee through fraud." The lawyer for former Rep. Kim said, "The defendant was involved in coin trading even before he became a public official,
"According to the law, coins were not subject to asset declaration and registration, so they were not reported," he said, adding, "As a result, the fact that actual asset disclosure was not made was due to the absence of legislation."
The lawyer argued for his innocence, saying, "Legally speaking, coin deposits held during the period in which assets were declared are not subject to declaration, so simply failing to declare them does not result in punishment."
At the trial in October, Kim said he had faithfully reported his assets in accordance with the procedures set out in the Public Officials Ethics Act and had no intention of obstructing the duties of public officials.
Last year, it was revealed that Kim held coins worth 6 billion won (US$6.37 million), raising suspicions about the source of the investment money and how the funds were used.
In addition, he was accused of using undisclosed information obtained from the gaming industry to buy coins at low prices and make profits through fraudulent transactions, and of conducting transactions during parliamentary activities such as the National Diet standing committees.
However, the prosecution has ruled out the allegations of using undisclosed information and illegally receiving payment for the coin purchase, citing insufficient evidence.
Meanwhile, the verdict is scheduled to take place on February 10, 2025 at 2 p.m.