In any organization, whistleblowing was the most uncomfortable situation to deal with.
Especially in the strictly hierarchical world of government officials, whistleblowing was
considered nothing short of betrayal.
Because of this, several government ministries—deeply entrenched in their own cartels—
maintained an iron grip on internal discipline.
The Financial Supervisory Service (FSS) was no exception. As a regulatory body that oversaw the economy, it was particularly vigilant about preventing leaks.
But despite their efforts—
A high-ranking official within the FSS, Team Leader Lee Il-seok of the Bank Supervision
Department, held a press conference.
Honorable citizens, my name is Lee Il-seok, Team Leader at the Financial Supervisory
Service.
As a public servant, I stand before you today to fulfill my duty.
During the Foreign Exchange Bank acquisition, the BIS ratio was deliberately manipulated to undervalue the bank—allowing foreign capital to buy it at a bargain price.
I will now publicly disclose internal information to prove this.
I urge a fair investigation to protect the people's tax money.
The press conference continued.
Lee Il-seok released recordings and internal documents to support his claims, wrapping up with a call for greater transparency in the financial sector.
I smirked.
"That was an extremely well-prepared statement."
Dimon nodded.
"Experts spent days drafting it. Now that this is out, the government won't be able to ignore it. At the very least, they'll be forced to launch a full investigation into the Foreign Exchange
Bank's BIS ratio."
Even an initial probe would disqualify Lone Star from the bidding process.
But that was assuming things went according to plan.
Depending on how deeply Lone Star had infiltrated the system, there was always a chance the case could get buried.
"It's a bit of a shame, though."
"What do you mean?"
"To take down a firm like Lone Star, we had to sacrifice one of our own inside the FSS."
Dimon chuckled.
"He's already agreed to work under me. His salary will be triple what he's making now, so in a way, it's an upgrade."
"If he's that valuable, send him to SAVE Investment. A man who fought for financial
transparency in Korea deserves not just triple, but five times his salary."
Dimon shook his head.
"No way. I'm already short on manpower. The Foreign Exchange Bank president is just the
beginning—we're not stopping here."
I sighed.
"Alright, I'll let you keep him. Either way, he'll still be working for us."
"But isn't just a press conference a little weak?"
Dimon grinned.
"I've already lined up an even stronger hitter.
Even if he barely makes contact, it's at least a triple."
"Now I'm curious."
Dimon pulled out several documents and laid them on the table.
It was neatly organized in a spreadsheet format—a breakdown of Lone Star's assets.
I skimmed through the details and burst into laughter.
"Wow, I never knew Lone Star loved golf this much. Why the hell does a private equity firm own over 130 golf courses?"
Dimon's expression remained serious.
"They're all in Japan, worth nearly 4 trillion KRW."
"Okay… so what's the problem?"
"Under banking law, any entity holding more than 2 trillion KRW in non-financial assets is
classified as industrial capital—meaning they lose eligibility as a major shareholder.
In other words, Lone Star is legally unqualified to acquire the Foreign Exchange Bank."
It was a perfect piece of evidence.
I couldn't help but wonder—how did they even track down assets in Japan?
No matter how skilled Captain Kang was, his expertise was limited to operations within Korea.
"Don't tell me you got help from U.S. politicians?"
Dimon shook his head.
"I got the data from David. It wasn't even difficult to obtain, so we didn't need to spend a single
cent on lobbying."
"Looks like Lone Star severely underestimated Korea. They didn't even bother hiding this
information before proceeding with the acquisition."
"We're planning to leak this report to the press by tomorrow. That way, Lee Il-seok's
whistleblowing will gain even more attention."
As expected, Dimon had laid out a flawless trap.
"Will you be stepping up to the plate yourself for the next move?"
Dimon nodded.
"I've already established a new corporation just for this moment. I've poured all my assets into it and secured additional investments from SAVE Investment's shell companies."
"Smart move. If anyone connects it back to SAVE, things could get complicated. Not that it
would be a huge problem even if they did."
"I'll make sure there are no loose ends."
There was nothing more for me to do.
With just a nudge from our allies in the prosecution, this would explode into a major scandal.
***
The whistleblowing from the FSS and Lone Star's disqualification erupted simultaneously.
Every news outlet was now calling for the Foreign Exchange Bank's sale to be reconsidered from scratch.
"Sir, the Foreign Exchange Bank president was arrested today. The prosecution said they're
detaining him due to a high risk of evidence tampering."
"With the bank president in custody, Lone Star must be in full-blown crisis mode."
"The Board of Audit and Inspection (BAI) has launched an investigation into the Financial
Supervisory Service. Any officials who colluded with Lone Star are about to be wiped out."
I chuckled.
"They probably planned for an FSS probe, but they didn't expect the BAI to get involved."
The Board of Audit and Inspection (BAI) was an independent government body.
While legally guaranteed independence, it was still susceptible to political pressure.
However, this case was too high-profile to be ignored.
With the current administration suffering from a lame-duck period, this was their last chance to flex their authority.
So naturally, the BAI jumped at the opportunity.
"I never expected the Blue House to be this cooperative. Did you pull some strings?"
"That's not the case. The Blue House simply wants to resolve the Foreign Exchange Bank issue as quickly as possible."
"Wouldn't it be better for them to just cover it up and push the sale through?"
"If there hadn't been a whistleblower, that might have worked. But now that the media is all over it, they'd rather scrap everything and start fresh."
The Blue House was determined to prevent another financial crisis at all costs.
With only a few months left in their term, they were desperate to secure a final political
achievement.
"Lone Star is preparing to file a lawsuit. They're making it clear that they'll fight for this acquisition, no matter what."
"After spending that much on lobbying, there's no way they'll back down easily. But things will change once a competitor enters the race."
"Even if the FSS leadership is replaced, there's a chance Lone Star could still qualify if there are no alternative buyers. But if a new competitor emerges, the FSS won't need to take any risks by forcing the sale."
With all the bribed officials replaced, the remaining employees would never want to be caught in the scandal.
As long as the decision was made based on legal and regulatory grounds, the situation would naturally turn in our favor.
"When do you plan to announce your bid?"
"Right after the BAI completes its audit. That way, the FSS will have no choice but to handle
things properly."
"I'll do my best to get our people into key positions at the FSS. Hang in there a little longer."
Dimon grinned, flashing his white teeth.
"What's there to endure? Just thinking about screwing over Lone Star makes every day feel like a joy."
His smile was like that of an excited child.
But to Lone Star, it must have looked like the devil's grin.
***
Ten days had already passed in January.
And I had just realized that 2002 had yet another festival.
"Vice Chairman, CES has begun."
The planning director turned on the TV.
The CES live broadcast was now playing.
Technology really is amazing.
Watching CES from Korea instead of flying to the U.S.? Incredible.
"When is Apple's presentation?"
"The final slot. The main act always goes last, after all."
Even through the screen, the energy in the venue was electrifying.
Right before Steve Jobs stepped onto the stage,
the entire crowd held its breath—silent, expectant.
Suddenly, a spotlight illuminated the stage.
And then, Steve Jobs appeared, clad in his signature black turtleneck.
[Woooooaaahhhhh!]
Had they been holding their breath just for this moment?
The crowd erupted into cheers—almost like screams.
But as soon as Steve raised his hand, the audience fell silent, as if rehearsed.
[Today, I am here to introduce Apple's latest revolutionary product. Are you disappointed that it's not the iPhone? No need to be! The next iPhone is already in development.]
[Wooooaaahhhh!]
Even the mere mention of the iPhone sent the crowd into a frenzy.
Its popularity was at an all-time high.
But today's star was not the iPhone.
[Before I introduce our new product, let's take a moment to reflect on Apple's history. In 1991, we launched the PowerBook—the first modern laptop. Since then, we've continued to create the best laptops in the world. And with that technology, we brought you the iPhone.]
On the massive screen behind him, images of the PowerBook and iPhone appeared side by side.
Steve pointed between them and continued.
[But don't you feel like something is missing? A laptop and an iPhone—shouldn't there be something in between? I've spent a lot of time thinking about this question. A product that fills this gap while seamlessly handling both laptop and smartphone functions. Creating such a device required an enormous technological leap.]
He paused, then displayed a list of key laptop and iPhone functions on the big screen.
[Email, photo sharing, video streaming, music playback, gaming—]
[A device that can do all of this, but is far more portable than a laptop. Does this sound too much like a dream? Let me show you that it's not.]
Steve pulled out a yellow manila envelope.
The audience chuckled, thinking he was joking.
But when he pulled an iPad out of it, the laughter turned into deafening applause.
Wait, he's introducing this now?
In my previous life, the envelope trick was used to unveil the MacBook Air.
But because of my interference, the iPad had been developed first, shifting the order of events.
Well, as long as the results are good, that's all that matters.
And in this case, the results couldn't have been better.
As Steve demonstrated the iPad's features, the audience responded with thunderous cheers and applause.
[I can already hear some of you losing your voices. Save it—you'll need it for the next iPhone.]
Next, the iPhone S was unveiled.
Originally, it should have been called the iPhone 2, but Steve felt it lacked enough innovation, so they replaced the number with an "S."
[Introducing the iPhone S! It may look similar to its predecessor, but it's an entirely different device. Most importantly, iPhone S users can now make video calls to each other—completely free of charge.]
And really, who doesn't love free stuff?
Moreover, since video calls were completely free with just the iPhone S—without the need for any additional equipment—the audience's reaction was explosive.
But that wasn't the end.
The iPhone S also introduced built-in navigation and card payment features.
These were more than enough to capture public interest, and once again, Apple had secured its place as the star of CES.
And yet, one final product remained.
The previous innovations alone would generate massive royalty revenue, but this last product
would directly benefit the Taewoo Group.
TL/n -
The company that bought Korea Exchange Bank (KEB) was Lone Star Funds , a U.S.-based
private equity firm.
Lone Star Funds & Korea Exchange Bank (KEB)
2003: Lone Star Funds acquired a 51% stake in Korea Exchange Bank for $1.2 billion during the Asian financial crisis when the bank was struggling.
Controversy: The acquisition was highly controversial in South Korea, with allegations
that the bank was undervalued at the time of sale. Legal battles and public opposition lasted
for years.
Exit: After multiple attempts to sell KEB, Lone Star finally sold its stake to Hana Financial Group in 2012 for $3.5 billion , making a significant profit.
Legal Issues: South Korean authorities pursued legal actions against Lone Star, claiming
market manipulation and tax evasion. In 2022, the International Centre for Settlement of
Investment Disputes (ICSID) ordered South Korea to pay Lone Star $216.5 million in
damages, significantly less than the $4.7 billion that Lone Star originally sought.