[비즈한국] As the special counsel team investigating Kim Keon-hee accelerates its probe, Kakao Mobility is drawing significant attention. Kakao Mobility and several other major corporations are under suspicion of supporting Kim Ye-seong, known as the "butler" to First Lady Kim Keon-hee. The allegation is that they invested in IMS Mobility, a company Kim Ye-seong was involved in founding, with specific ulterior motives. If the investigation becomes protracted, it could negatively impact corporate management regardless of whether guilt is proven.
In June 2023, IMS Mobility received an investment of 18.4 billion KRW through the "Oasis No. 3 JD New Technology Association (Oasis Fund)," a fund established by Oasis Equity Partners. Companies that invested in the Oasis Fund include Kakao Mobility, HS Hyosung483860, Kiwoom Securities039490, Korea Finance Corporation, and Shinhan Bank. The special counsel team suspects these companies invested in IMS Mobility with former President Yoon Suk-yeol in mind, as Kim Ye-seong, known to be a confidant of First Lady Kim Keon-hee, held shares in IMS Mobility and served as an executive there.
Of the 18.4 billion KRW invested by the Oasis Fund, 4.6 billion KRW was used by Inovest Korea to acquire shares in IMS Mobility. Inovest Korea is a company headed by a woman surnamed Jeong, who is the wife of Kim Ye-seong. Because of this, suspicions have arisen that Inovest Korea is a shell company used by Kim Ye-seong.
As these allegations emerged, Kakao Mobility became a subject of the special counsel’s investigation. The team summoned and questioned a former CFO of Kakao Mobility, surnamed Lee, on July 20, and summoned Kakao Mobility CEO Ryu Gung-seon the following day, July 21. Upon entering the special counsel's office, CEO Ryu did not respond to reporters' questions regarding whether he had ordered the investment in IMS Mobility.
If the investigation continues for a long time, negative impacts on Kakao Mobility's management plans are expected, as the company will find it difficult to focus on operations while under scrutiny. Kakao Mobility has already seen its earnings growth stagnate. While its revenue increased by 2.34% from 153.3 billion KRW in the first quarter of last year to 156.9 billion KRW in the first quarter of this year, its operating profit fell by 2.81% from 11.5 billion KRW to 11.2 billion KRW over the same period.
Kakao Mobility is striving to secure new growth engines. While the company has historically focused heavily on the domestic market, it has recently shown an active interest in overseas expansion. Last April, Kakao Mobility signed a "Digital Innovation MOU for Smart Taxi Infrastructure Construction" with the Japanese taxi group "X Taxi."
Furthermore, in June, the company announced that it would cooperate with Saudi Arabia on the "Diriyah Project" to develop integrated mobility solutions, including parking platforms. To this end, Kakao Mobility signed an MOU with Diriyah Company for the joint development of future mobility services. The Diriyah Project is a large-scale urban development plan with a total investment of 63 billion USD (approximately 86 trillion KRW) by the Saudi Arabian government.
At the time, CEO Ryu Gung-seon visited Saudi Arabia in person to sign the agreement. Beyond Saudi Arabia, the leadership and sales capabilities of a CEO are crucial for a company's overseas expansion. If the special counsel's investigation continues, it will inevitably hinder operational speed. Overseas partners may also be wary of Kakao Mobility's legal risks. With CEO Ryu now under investigation, focusing on management has become difficult.
For Kakao Mobility, the best-case scenario is for the special counsel investigation to conclude quickly. The key is whether there was any "quid pro quo" involved in Kakao Mobility's investment in the Oasis Fund. Coincidentally, at the time of the investment, Kakao Mobility was undergoing investigations by regulatory authorities. The company was being investigated by the Financial Supervisory Service over alleged accounting fraud and was fined 25.7 billion KRW by the Korea Fair Trade Commission around the same time for allegedly manipulating taxi calls in favor of its own services.
Kakao Mobility denies these allegations. A company official stated, "It is difficult to provide specific answers regarding matters currently under investigation," but added, "We have been providing car rental brokerage services since signing an MOU in 2021, two years before investing in IMS Mobility through the Oasis Fund. The investment decision was made for business purposes, and there were no other considerations."