South Korea's Costliest Divorce: Smilegate Founder Must Pay $15B to Ex-Wife
SingTao · 1 SOURCESabout 3 hours ago2 MIN
Summary
The Seoul Family Court delivered a landmark ruling on Wednesday, September 9, 2026, in the divorce proceedings between Smilegate founder Kwon Hyuk-bin and his wife Lee Hwa-jin, ordering the transfer of assets worth approximately 2.55 trillion won (HK$150 billion) to the wife . This unprecedented decision surpasses the previous record set just months earlier in the SK Group divorce case by a significant margin . The court awarded 35% of Kwon's equity in Smilegate plus 65 billion won (HK$380 million) in cash, recognizing Lee's contributions to the company's establishment despite her husband's claims that she never invested in or worked for the business .
Key Points
- Seoul Family Court ordered Kwon Hyuk-bin to transfer 35% Smilegate equity plus 65 billion won (HK$380 million) cash to ex-wife Lee Hwa-jin
- Total asset division of 2.55 trillion won (HK$150 billion) sets new South Korean record, exceeding the 9,440 billion won SK Group divorce ruling
- Kwon Hyuk-bin's personal net assets estimated at 7.34 trillion won (HK$430.9 billion), with Smilegate shares comprising 96.8%
- The couple married in 2001, founded Smilegate in 2002, and Lee filed for divorce in 2022 after separating in 2020
- Lee's lawyers argued she provided early funding, served as company representative, and spent over 20 years managing the household
Why It Matters
This ruling signals a significant shift in how South Korean courts evaluate spousal contributions to business success, potentially influencing future divorce settlements involving company founders . The case also highlights the growing wealth disparity in South Korea's gaming industry, where founders of globally successful studios amassing fortunes exceeding hundreds of billions of Hong Kong dollars may now face greater financial accountability to their spouses .
This ruling signals a significant shift in how South Korean courts evaluate spousal contributions to business success, potentially influencing future divorce settlements involving company founders . The case also highlights the growing wealth disparity in South Korea's gaming industry, where founders of globally successful studios amassing fortunes exceeding hundreds of billions of Hong Kong dollars may now face greater financial accountability to their spouses .