TLDR
- Police reportedly searched Bithumb’s Seoul headquarters during a hiring influence probe involving Kim Byung-kee’s son.
- Kim’s second son joined Bithumb in January 2025 and worked there for about six months.
- Investigators are examining whether external pressure affected hiring decisions at Bithumb and other crypto companies.
- Police previously questioned crypto exchange executives as witnesses during the wider employment favoritism investigation.
- Bithumb is also facing regulatory pressure over AML and customer verification compliance issues in South Korea.
South Korean police reportedly raided Bithumb as part of an investigation into allegations that independent lawmaker Kim Byung-kee attempted to influence employment opportunities for his son at major crypto companies. The search was conducted at Bithumb’s headquarters in Gangnam-gu, Seoul, according to local media reports published on Monday.
The investigation centers on claims that Kim sought favorable treatment for his second son during hiring processes at virtual asset firms, including Bithumb and Dunamu, the operator of Upbit. Kim’s son reportedly joined Bithumb in January 2025 and worked at the exchange for about six months.
Police Search Bithumb Headquarters Again
The Seoul Metropolitan Police Agency’s Public Crime Investigation Unit reportedly executed a search and seizure warrant at Bithumb’s office on June 8. Local outlet News1 reported that the latest operation marked the second raid connected to the hiring case, following an earlier search in February.
Investigators are reviewing whether personnel decisions at Bithumb were affected by outside pressure or preferential treatment. Police had already secured employment-related documents during the earlier raid and have been examining the company’s recruitment process.
Authorities have also questioned executives from virtual asset exchanges as witnesses. Those interviews reportedly focused on whether Kim contacted or pressured industry officials regarding employment opportunities for his son.
Kim Byung-kee Faces Wider Investigation
Kim, an independent lawmaker representing Seoul’s Dongjak-gu A constituency, has reportedly been under police investigation for several months. The hiring allegations form part of a broader case that includes multiple separate claims involving political funds, university transfer matters, and employment-related requests.
Police reportedly questioned Kim in April, when he appeared before investigators as a suspect. During his sixth appearance, Kim stated that he believed he would be cleared of wrongdoing, while authorities continued to examine whether any criminal conduct had occurred.
The case has drawn attention because Kim previously served on the National Assembly’s Political Affairs Committee, which oversees South Korea’s financial regulator. Reports have raised questions about whether his activity during committee proceedings involving Dunamu had any connection to the employment allegations.
Bithumb Remains Under Regulatory Scrutiny
Bithumb is one of South Korea’s largest cryptocurrency exchanges and has separately faced regulatory action over compliance controls. In March, financial authorities issued a fine of about $24.5 million and ordered a six-month partial suspension after inspections found shortcomings in Anti-Money Laundering and Know Your Customer procedures.
The suspension order included limits on certain services, including restrictions related to onboarding new users. Bithumb challenged the regulator’s decision, and a South Korean court temporarily paused enforcement in late April while legal proceedings continue.
Authorities have not announced whether Kim or exchange officials will face further summonses in connection with the hiring probe. The investigation remains active, with police continuing to review documents, testimony, and the circumstances surrounding the employment of Kim’s son at Bithumb.
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