Former South Korean lawmaker gets 6-months in jail for lying about cryptocurrency assets

A former member of the South Korean Democratic Party was imprisoned for hiding 10 billion won worth of cryptocurrency assets.

Kim Nam-kook, a former legislator of the Democratic Party of Korea, was found guilty of hiding cryptocurrency assets while he was a member of the National Assembly and was sentenced to six months in prison. The decision was made on the morning of October 28, 2024, at Kim’s hearing at the Southern District Court in Yangcheon-gu, Seoul.

Kim was accused of switching some of the cryptocurrency deposits to bank accounts corresponding to the alleged total assets, while converting the rest of the funds back into cryptocurrency, to obstruct the National Assembly Ethics Committee’s investigation into the ownership changes.

He reportedly used this method to hide significant cryptocurrency investment gains from his 2021 and 2022 asset reports.

The estimated 10 billion won worth of cryptocurrencies held by the former politician has come under intense public scrutiny and raised questions about transparency and accountability in the government. Sentencing Kim represents a significant move in a case that has attracted great attention in South Korea.

The case sheds light on current debates about asset disclosure laws and the moral obligations of public officials, especially when it comes to overseeing investments in emerging financial markets such as cryptocurrency.