<Anchor>
Kang Jong-hyun, known as the actual owner of Bithumb, a virtual currency exchange, was arrested on suspicion of manipulating stock prices of related companies and embezzling company money.
It seems that the prosecution's investigation into the overall Bithumb affiliates will gain momentum.
Reporter Jeong Ban-seok reports.
<Reporter>
Kang Jong-hyun, a businessman known as the actual owner of Bithumb, a virtual currency exchange, came to the court for interrogation before arrest.
Last month, the prosecution requested an arrest warrant for Kang on charges of manipulating the stock prices of Bithumb affiliates and embezzling company money.
[Kang Jong-hyun/Businessman: (Why did you not respond to the subpoena? Do you admit to the charge of stock price manipulation?) I will do my best.
(Did you instruct the destruction of evidence?) No.
No.]
Mr. Kang is known to have denied the charges, saying that he did not intervene in the execution of funds in court, but the court issued a warrant saying that there was a risk of destroying evidence and escaping.
Prosecutors believe that the public announcement made by Bithumb's core affiliates in July of last year was made under the direction of Mr. Kang.
This public announcement contained favorable news that a US cryptocurrency exchange that attempted to acquire Bithumb at the time was continuing discussions with Bithumb's core affiliates.
Prosecutors are said to have secured evidence that Mr. Kang, who planned to raise the company's stock price after the disclosure and exercise the conversion right to make profits, led the false disclosure.
Prosecutors believe that Kang directly intervened in the management of Bithumb's affiliates and took unfair advantage based on favorable public disclosure.
As Mr. Kang is arrested, it is expected that the prosecution's investigation into the overall Bithumb affiliates will accelerate.
(Video coverage: Kim Nam-seong, Video editing: Oh No-young)