Bithumb CEO booked in bribery probe tied to lawmaker’s son

South Korean police have booked Bithumb CEO Lee Jae-won as a bribery suspect in a probe tied to alleged job favors for the son of independent lawmaker Kim Byung-kee.

Yonhap reported on June 11 that the Seoul Metropolitan Police Agency’s Public Crime Investigation Unit is examining whether Lee helped arrange employment at Bithumb after a request from Kim.

Bithumb CEO bribery probe over job request

The case centers on claims that Kim asked Bithumb to hire his second son. Police are also checking whether the lawmaker later carried out parliamentary activity that may have benefited the exchange.

Investigators reportedly obtained a statement from a former aide. The statement claimed Kim met Lee at a restaurant in Mapo, Seoul, in November 2024 and raised the employment request during the gathering.

Meanwhile, Kim served on the National Assembly’s Political Affairs Committee, which oversees South Korea’s Financial Services Commission. Police are reviewing whether his work on crypto exchange issues had any link to the alleged hiring request.

Yonhap reported that investigators suspect Kim focused on “monopoly issues” involving Dunamu, the operator of Upbit and a major Bithumb rival. The report said police are examining whether those activities were tied to his son’s employment.

The probe also covers a separate hiring allegation. Police are checking whether Kim asked Bithumb to employ an aide who worked in his office. That aide reportedly joined Bithumb in September last year.

Bithumb headquarters searched again

Police named Lee as a suspect in a second search warrant executed on June 8. The search covered Bithumb’s headquarters in Gangnam-gu and other locations.

During an earlier search in February, police had listed Kim as a bribery suspect over alleged preferential treatment involving his son. Bithumb was treated as a witness at that stage.

Investigators are expected to review seized materials before questioning people linked to the hires. Yonhap said police may summon the aide and others to ask about the hiring process and what they knew about the alleged requests.

Case adds pressure on exchange

The new case arrives during a difficult year for Bithumb. As previously reported by crypto.news, South Korean regulators fined the exchange 36.8 billion won, about $24.5 million, after finding anti-money laundering violations.

Bithumb also faced regulatory questions after an internal error in February briefly credited users with massive Bitcoin balances. Separately, as previously reported, the exchange later delayed its IPO plans until after 2028 while strengthening accounting and internal controls.

The bribery case remains under investigation. Police have not announced final findings, and the allegations against Lee, Kim and others have not been proven in court.