Is South Korea's First Lady Involved In Stock Manipulation And Luxury Handbag Scandal?

South Korea's first lady, Kim Keon Hee, has been questioned over allegations of stock manipulation and graft involving a $2,200 (approximately Rs 1,84,800) luxury handbag, according to the prosecution on Sunday.

The opposition has been calling for a special probe into the first lady, who has been under scrutiny for accepting a Dior bag in violation of government ethics rules, and for her alleged role in a stock manipulation scheme, as reported by India Today, citing AFP.

Photo Credit: PTI

Is South Korea's First Lady Involved in a Stock and Handbag Scandal?

"Face-to-face questioning" of Kim was conducted on Saturday by prosecutors from the Seoul Central District Prosecutors' Office, as stated in their official statement. Hidden camera footage released last year appeared to show Kim accepting the luxury designer handbag, an act that was later dubbed the "Dior bag scandal" by local papers, as reported by India Today.

This scandal negatively impacted President Yoon Suk Yeol's approval ratings, contributing to a significant defeat for his party in the general elections in April, where it failed to regain a parliamentary majority.

Such a gift would violate South Korean law, which prohibits public officials and their spouses from accepting anything worth more than $750 (Rs 63,000). Kim's aide informed investigators earlier this month that the first lady had instructed her to return the bag on the same day it was received, but the aide had forgotten to do so, according to Yonhap news agency, as per media reports.

In February, Yoon made his first remarks on the bag scandal, dismissing it as a "political scheme" and stating that his wife had accepted the bag only because it was difficult for her to refuse it. However, he later apologized in a rare press conference in May, describing his wife's acceptance of the bag as "unwise."

This is not the first time Kim has faced public scrutiny. During Yoon's presidential campaign, she was forced to apologize over falsified credentials.