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On Friday morning, Nov. 3, Lone Star Funds was praising Korea’s legal system. On Friday afternoon, its lawyers were in shock.

Seoul District Court on Friday morning had rejected prosecution requests for arrest and detention warrants for fund executives accused of stock price manipulation related to Lone Star’s acquisition of Korea Exchange Bank’s credit card unit in 2003. Judge Min Yeong-hun refused the warrants on the grounds of insufficient evidence and the executives’ prior cooperation with investigations.

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