South Korean authorities raid Samsung headquarters over insider trading: Report

-South Korean authorities raided the headquarters of Samsung Electronics on Thursday over suspicions of insider trading, according to Yonhap News Agency.

Investigators from the Seoul Southern District Prosecutors’ Office carried out a search-and-seizure operation at the company’s headquarters in Suwon, south of Seoul, Yonhap reported, citing legal sources.

The raid was linked to allegations that employees of Rainbow Robotics, now a Samsung subsidiary, made illicit profits by using insider information related to Samsung's acquisition of the company.

A total of 16 people, including Rainbow Robotics' head and chief financial officer, were referred to prosecutors for alleged violations of the Capital Markets Act.

They are suspected of making illicit gains of about 3 billion to 4 billion won ($1.96 million to $2.6 million) by trading on insider information while Samsung was acquiring shares in the company between 2022 and 2024.

Rainbow Robotics' headquarters was previously searched by authorities in March.