Hermes The First Fund Facing Indictment In South Korea

Hermes Investment Managementhas the dubious distinction of being reportedly the first foreign fund to be indicted in South Korea,金融时报》reports. Prosecutors charge Hermes and a former fund manager,Robert Clements, of manipulating the stock ofSamsung Corp.by boosting share price only days before it sold its 5% stake. Hermes reportedly netted 29.2 billion won from the scheme. Clements, according toFT, also sold his personal shares in Samsung before the price dropped.The Seoul Prosecutor's Officehas issued a warrant for Clements' arrest and is seeking judge-only summary judgment, as well as a fine of $7.6 billion be imposed on Hermes.