Rep. Lee Chun-seok denies charges of 'borrowed-name stock trading under aide's name' in first trial

Independent lawmaker Lee Chun-seok, who was put on trial on charges of trading stocks in the name of his aide, largely denied the charges in his first trial.

On the 11th, Chief Judge Han Jeong-seok of Criminal Division 3 of the Seoul Southern District Court held the first trial date for Rep. Lee, who was indicted without detention on charges of violation of the Real Name Financial Transactions Act, violation of the Electronic Financial Transactions Act, violation of the Public Official Ethics Act, and violation of the Anti-Graft and Corruption Act.

Rep. Lee Chun-seok is accused of receiving a mobile phone and password with a securities company app installed from his aide Mr. Cha in March 2020, when he was serving as a member of the 20th National Assembly, and in June 2024, immediately after his inauguration as a member of the 22nd National Assembly, and trading stocks using a securities account in Cha's name.

During the stock trading process, he ended up owning stocks exceeding 30 million won in the borrowed-name account, but it was found that Rep. Lee did not sell the stocks or place them in a blind trust within the legal deadline.

He was also charged with receiving a total of 29 million won from four acquaintances in 2021, when he was the Secretary General of the National Assembly, in the name of condolences for his mother's funeral and congratulatory money for his daughter's wedding.

On this day, Rep. Lee Chun-seok's lawyer argued that Rep. Lee had no intention of escaping the law, saying that he started stock trading to relieve boredom after being eliminated from the primary.

The defense lawyer argued, "Regarding the charge of violating the Real Name Financial Act, we maintain that there was no evasion of the law and that was not the goal," and added, "The charge of violating the Electronic Finance Act was not intended to be used as a crime, and with regard to the charge of violating the Public Official Ethics Act, it was stock from a company unrelated to his duties."

He also expressed his intention to contest the nature of the money, saying, “The 20 million won related to the violation of the Anti-Graft Act includes compensation for legal advice received from another defendant, Mr. Park.”

Representative Lee said, "This case was classified as a political case, so the investigation was expanded, and close aides, friends, and juniors ended up in court. More than 89 people were investigated (in relation to this case) and search and seizure were conducted 14 times. The investigation records exceed 10,000 pages. Aide Cha was investigated by the police eight times, and was investigated even after midnight."

He added, "In fact, these people are not at fault. The responsibility is entirely mine," adding, "I ended up in court because of my wrong judgment. I am truly sorry and sorry. I will bear any consequences."

The aide, Mr. Cha, the senior secretary, Mr. Lee, who is accused of destroying evidence under Cha's instructions, and four acquaintances, who are accused of providing money and valuables exceeding the legal limit to Rep. Lee in the name of congratulatory and condolence expenses, were also tried on this day.

Mr. Cha is accused of ordering Mr. Lee to destroy and conceal evidence, such as shredding documents in the lawmaker's office and taking out a laptop, when suspicions arose in August 2025 that Rep. Lee had traded artificial intelligence (AI)-related stocks using information obtained from his position as head of the Economic Division 2 of the National Planning Commission at the time.

On this day, Mr. Cha's lawyer said, "In a situation where the main culprit denies (the crime), we have no choice but to deny the charge of aiding and abetting," and added, "Regarding the charge of violating the Electronic Finance Act, we did not do it knowing that it would be used for a crime." Submission of opinions was withheld on charges of concealment of evidence and instigation, saying further legal review was needed.

Senior Secretary Lee decided to submit his opinion later.

On this day, four people, including Mr. Park, Mr. Ko, Mr. Moon, and Mr. Lim, who were acquaintances, admitted to the indictment.

However, they claimed that the money provided to Rep. Lee Chun-seok was not in exchange for compensation, but as condolence money for his mother's funeral and as a congratulatory gift for his daughter's wedding, and requested that they take into account the fact that it occurred due to a lack of legal knowledge.

On this day, the prosecutor requested the court to sentence Mr. Park to a 20 million won fine, Mr. Ko to a 5 million won fine, Mr. Moon to a 2 million won fine, and Mr. Lim to a 2 million won fine.

On August 4th last year, a media camera caught Rep. Lee Chun-seok trading stocks in Cha's name at the plenary room of the National Assembly.

Accordingly, the People Power Party and civic groups filed a complaint against Rep. Lee, and a police investigation began.

At the time, the Financial Crimes Investigation Unit of the Seoul Metropolitan Police Agency sent Representative Lee four months later on charges of violating the Real Name Financial Act and the Anti-Graft Act, but did not forward the case, saying the suspicion of using undisclosed information was not recognized as a charge.

At the time of the indictment, the prosecutor requested a re-investigation into the suspicion of Rep. Lee's use of undisclosed information (violation of the Capital Markets Act), which the police had not forwarded, and reexamined the records, but returned the records after determining that the police's conclusion was reasonable.

The next trial will be held on the 23rd of next month at 11:10 am.