Forgot password
Enter the email address you used when you joined and we'll send you instructions to reset your password.
If you used Apple or Google to create your account, this process will create a password for your existing account.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Reset password instructions sent. If you have an account with us, you will receive an email within a few minutes.
Something went wrong. Try again or contact support if the problem persists.
Image by Buffy May, CC BY-SA 2.0.

Gaming tycoon worth $3 billion ordered to give ex-wife $1.87 billion in assets after divorce

A South Korean court has ordered gaming billionaire Kwon Hyuk-bin to pay his ex-wife 2.55 trillion won, which equals about $1.87 billion, in a record-breaking divorce settlement. This ruling reportedly marks the largest such payout in the history of South Korea, easily doubling the previous record set by another major tech figure. 

Recommended Videos

As reported by BBC, is a massive shift for the gaming industry, as the court decided that 35% of Kwon’s stake in his company, Smilegate, must be transferred to his former spouse, Lee Hwa-jin. Kwon is a titan in the gaming world, as his company currently stands as the third-largest video game company in South Korea. 

The company is famous for major titles like the shooter game CrossFire and the action role-playing hit Lost Ark. Before this court order, Kwon reportedly held total ownership of the company. In addition to the massive stake transfer, the court ordered him to pay an extra 65 billion won in cash to Lee.

She initially requested a 50% stake 

The legal battle centered on the couple’s contributions to the company’s success. Kwon and Lee were reportedly married in 2001, just one year before Smilegate was launched. Lee argued that she played a significant role in the company’s early days by helping to finance its founding. 

She also pointed to her role in raising their children and managing their household for over two decades. Because of these contributions, she initially requested a 50% stake in the business. Kwon took a very different stance during the proceedings. He reportedly maintained that Lee neither invested in the company nor worked for it in any professional capacity. 

Earlier this year, Smilegate even issued a public statement asserting that all of the initial capital used to start the business came solely from Kwon. Despite these arguments, the court sided with Lee to a significant degree, resulting in the transfer of the 35% stake.

The scale of this settlement is staggering when you consider the previous record. In July, Chey Tae-won, who serves as the chairman of SK Group, was reportedly ordered to pay 944 billion won to his ex-wife. That figure was widely considered a massive historical outlier at the time. 

However, the Supreme Court later struck down that order after finding a miscalculation regarding the value of the couple’s assets. That case is now headed for a review, whereas the current ruling against Kwon stands for now as the new benchmark.

It is worth noting that both parties still have the option to challenge this ruling in court. The situation remains sensitive for the company itself, which is understandably trying to distance its corporate operations from the private affairs of its founder. 

A spokesperson for Smilegate stated they would not “comment on the major shareholder’s personal matters”. They added, “We will continue to faithfully perform our duties as usual,” in a statement cited by The Chosun Daily.


Attack of the Fanboy is supported by our audience. When you purchase through links on our site, we may earn a small affiliate commission. Learn more about our Affiliate Policy
Author
Image of Abdul Haddi
Abdul Haddi
Haddi is an avid gamer and tech enthusiast who loves building PCs. Aside from gaming, he has a passion for making films and bringing stories to life. When not gaming or exploring new tech, he enjoys traveling and discovering new places.