Full Breakdown
South Korean Court Orders Gaming Tycoon Kwon Hyuk-bin to Pay Record Divorce Settlement
9/9/2026, 4:29:12 PM
Court Ruling and Financial Outcome
A Seoul court has ordered Kwon Hyuk-bin, founder of video-game developer Smilegate, to transfer a 35 % stake in the company—valued at roughly 2.5 trillion won—to his ex-wife Lee Hwa-jin, and to pay her an additional 65 billion won in cash. The total award of 2.55 trillion won (about $1.87 billion) is the largest divorce settlement recorded in South Korea’s history. Both parties retain the right to appeal the decision.
Background and Context
Kwon and Lee married in 2001, a year before Kwon established Smilegate, now the nation’s third-largest game publisher known for titles such as *CrossFire* and *Lost Ark*. In filing for divorce, Lee sought a 50 % ownership share, arguing that she helped finance the company at its inception and spent more than two decades raising their children. Kwon countered that Lee neither invested in nor worked for the business. Earlier in the year, Smilegate issued a statement asserting that all initial capital originated from Kwon.
Key Figures
Data and Comparative Record
The award surpasses the previous high-water mark of 944 billion won, which was ordered against SK Group chairman Chey Tae-won before being overturned by the Supreme Court for a miscalculation. The current settlement therefore more than doubles the former record.
Implications for Corporate Governance and Divorce Law
The ruling underscores the Korean judiciary’s willingness to treat marital contributions—financial or otherwise—as grounds for substantial asset division, even in high-tech enterprises. Smilegate’s spokesperson declined to comment on the personal dispute but affirmed that the company will continue its operations unchanged. Legal analysts note that the case may set a precedent for future divorce settlements involving founders of rapidly growing tech firms, potentially influencing how ownership structures are documented and defended in family law contexts.
