{"id":246401,"date":"2026-02-10T22:38:56","date_gmt":"2026-02-10T13:38:56","guid":{"rendered":"https:\/\/tenbizt.com\/en\/news\/uncategorized\/2026\/02\/10\/korean-economy-newspaper-scandal-5-journalists-2\/"},"modified":"2026-04-15T16:02:03","modified_gmt":"2026-04-15T07:02:03","slug":"korean-economy-newspaper-scandal-5-journalists-2","status":"publish","type":"post","link":"https:\/\/tenbizt.com\/en\/news\/social\/2026\/02\/10\/korean-economy-newspaper-scandal-5-journalists-2\/","title":{"rendered":"Korean Economy Newspaper Scandal: 5 Journalists Linked to Insider Trading \u2013 What\u2019s Next?"},"content":{"rendered":"
\n
\" 
  \u25b2A composite image of the Korea Economic Daily building, stocks, and a journalist typing on a keyboard. Image generated by ChatGPT.<\/figcaption><\/figure>\n<\/div>\n

In the wake of the raid conducted by the Joint Task Force for Eradicating Stock Price Manipulation on the Korea Economic Daily headquarters in Jung-gu, Seoul on the 5th, following evidence of the newspaper’s journalists being involved in “front-running,” the aftermath continues to unfold. The journalist front-running scandal, which first came to light last year through KBS reporting, has now escalated to become a matter of presidential concern, raising questions about potential self-regulatory measures within the media industry.<\/p>\n

The Korea Economic Daily issued an official apology online on the 6th and in print on the 7th. President Lee Jae-myung shared KBS’s article “Stock Manipulation Response Team Raids Korea Economic Daily… Targeting Journalist Front-Running” on his X account on the 6th, commenting “Stock manipulation leads to disgrace.” Four days after the raid, on the 9th, Kim Jung-ho, the president of the Korea Economic Daily, offered his resignation, and the company decided to convene a shareholders’ meeting to select a new president. Lee Sim-ki, the editor-in-chief of the Korea Economic Daily, reportedly submitted his resignation but is expected to retain his position to manage the situation.<\/p>\n

So far, at least five members of the Korea Economic Daily have been implicated in the “front-running” allegations. It has been confirmed that some executives and reporters from the newspaper are suspected of using “insider information” for stock trading. The Korea Economic Daily has removed the implicated employees from their duties, and some have reportedly resigned.<\/p>\n

The Korea Economic Daily had been applying a code of conduct for employees and an ethical code for journalists, which stated that “information obtained through reporting and other work-related activities regarding stocks, bonds, real estate, etc., should not be used for personal investment or other purposes” and “unpublished insider information should not be used for investing in stocks or other securities and real estate.” However, this incident has clearly shown that internal codes of conduct within media organizations are insufficient to prevent such crimes.<\/p>\n

\n
\" 
  \u25b2President Lee Jae-myung’s post on X mentioning the Korea Economic Daily’s front-running incident. Source: X.<\/figcaption><\/figure>\n<\/div>\n
\n

Five Korea Economic Daily staff, including desk editors, implicated… “Damage control” impossible<\/strong><\/p>\n<\/div>\n

This case differs from previous “journalist front-running” incidents in three ways. First, multiple journalists from a single company are involved, including desk-level editors. In previous cases, desk-level journalists were not implicated, and it was typically individual reporters writing favorable articles and profiting from stock trades. This allowed media companies to engage in “damage control” by dismissing individual reporters.<\/p>\n

In the Korea Economic Daily case, the involvement of five staff members from one company, including senior editors, makes it impossible to resort to simple “damage control.” This is considered a severe matter. One of the implicated desk editors, Mr. A, is accused of profiting from stock trades based on information reported by field journalists, without writing articles directly. His alleged gains are reported to be in the hundreds of millions of won.<\/p>\n

Second, the suspects are primarily accused of “using insider information” rather than directly writing articles to manipulate stock prices. In contrast, a Maeil Business Newspaper reporter who resigned early last year was caught profiting from writing favorable articles about stocks he had purchased. That reporter was reported to the Securities and Futures Commission under the Financial Services Commission for violating the prohibition on unfair trading practices. Similarly, a former reporter from eToday and Seoul Economic TV was indicted late last year for gaining profits of about 11.2 billion KRW (8.4 million USD) by writing favorable articles and selling stocks after price increases.<\/p>\n

However, the Korea Economic Daily told Mediatoday, “Our internal investigation found that those involved never directly wrote ‘favorable articles’.” This suggests that the implicated individuals profited solely from using insider information without writing articles. Nevertheless, as the investigation is ongoing and the company’s internal probe has limitations, definitive conclusions cannot be drawn. There’s still a possibility that among the five implicated individuals, reporters from the news gathering department might face additional charges of stock price manipulation through their articles.<\/p>\n

\n

Media companies’ official response finally begins, could this be a turning point for the industry?<\/strong><\/p>\n<\/div>\n

Third, while media companies implicated in previous journalist front-running cases rushed to engage in “damage control,” this time, the Korea Economic Daily is taking official action in response to the front-running incident following the raid. Previously, media outlets like Maeil Business Newspaper, eToday, and Seoul Economic TV, whose journalists were allegedly involved in front-running, did not conduct thorough investigations or take significant measures.<\/p>\n

In contrast, the Korea Economic Daily has been relatively quick to respond after the raid brought the incident to light, issuing an official apology, accepting the president’s resignation, and forming task forces. According to Mediatoday’s investigation, the Korea Economic Daily has established both an internal investigation task force and an institutional improvement task force. The internal investigation team will clarify the facts of the case, while the institutional improvement team will discuss measures to prevent the private use of reporting information.<\/p>\n

On the 10th, a Korea Economic Daily representative told Mediatoday, “We plan to announce strong reform measures soon.” Industry insiders are speculating whether the Korea Economic Daily will implement measures such as prohibiting stock ownership for journalists covering stock-related departments. The immediate response from the Korea Economic Daily is expected to influence other financial newspapers as well.<\/p>\n

\n
\" 
  \u25b2The opening ceremony of the “Joint Task Force for Eradicating Stock Price Manipulation” held at the Korea Exchange in Seoul on the morning of July 30, 2025. Source: Financial Services Commission.<\/figcaption><\/figure>\n<\/div>\n

This incident carries more weight than just an internal misconduct case within a media company, as it directly relates to restoring trust in the stock market, prompting even the President to mention “eradicating stock price manipulation.” President Lee Jae-myung has consistently emphasized eliminating stock price manipulation as part of his pledge to achieve “KOSPI 5000.” Considering the launch of the “Joint Task Force for Eradicating Stock Price Manipulation” by the Financial Services Commission, Financial Supervisory Service, and Korea Exchange, the raid on the Korea Economic Daily holds significant symbolic importance.<\/p>\n

In light of this, it’s worth noting that when previous journalist front-running controversies arose, the Korea Economic Daily stated, “Our internal investigation found no one involved,” clearly demonstrating the limitations of media companies’ self-investigations. With internal ethical codes and media companies’ subsequent self-regulation efforts proving inadequate to prevent structural crimes, it’s time to implement effective institutional alternatives to block the private use of reporting information, as previously proposed by lawmakers like Han Chang-min of the Social Democratic Party (member of the National Policy Committee).<\/p>\n","protected":false},"excerpt":{"rendered":"

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