Park Gyu Ri’s ex-lover is among two PICA Coin CEOs arrested for recruiting unsecured artworks investors and manipulating market prices.
On July 21st, Seoul Southern District Court senior judge Yoo Hwan Woo issued an arrest warrant for Song Ja Ho (23 years old and Sung Hae Joong (44 years old), co-CCOs of PICA Project, on charges of violation of the Capital Market Act (fraud) and obstruction of business after conducting a questioning on the suspects. Regarding the reason for the warrant, the judge stated, “There is a risk of an escape and destruction of evidence”.
PICA Coin is a virtual currency that promotes “sculpture investment”, which allows several people to jointly own a single artwork by dividing its ownership into shares.
Song is accused of deceiving investors by recruiting them without properly securing the artworks for investment. He is also charged with manipulating market prices for unfair profits and interfering with regular coin exchange trades.
Song is a curator and the grandson of former Dongwon Construction Chairman Song Seung Heon. Initially believed to be born in 1995, Song was later confirmed to have been born in 2000, leading to a controversy. Last year, he even ran as a candidate in the Seoul Seocho District by-election.
Song is also known to be the ex-boyfriend of Park Gyu Ri, a member of the girl group Kara. Park Gyu Ri previously served as a curator and CCO (Chief Communications Officer) for PICA Project, so she was summoned as a witness for questioning by the prosecution.
PICA Coin was listed on Upbit in January 2021 but was delisted in June of the same year. It is because it allegedly issued and distributed more coins than the originally announced plan without informing investors.
Coinone was also delisted in March of this year due to suspicious trading activities. Two former Coinone employees and two listing brokers are facing prosecution on charges of obstruction of business, embezzlement, and breach of trust.