[Alpha Biz= Paul Lee] SEOUL, October 28, 2025 — Daehan Steel Co., Ltd. and seven other institutional investors have filed a lawsuit against Mirae Asset Global Investments seeking the return of unjust enrichment related to a failed mezzanine loan investment in Hong Kong, according to a regulatory filing published by the Korea Financial Investment Association.
The lawsuit was officially lodged with the Seoul Central District Court on October 27, targeting Mirae Asset Global Investments as the defendant.
Background: Hong Kong Real Estate Loan Fund Collapse
The dispute stems from a fund originally managed by Multi Asset Management, which was later merged into Mirae Asset Global Investments.
In 2019, the fund was established to finance a ₩280 billion (US$210 million) mezzanine loan extended to the Goldin Financial Global Centre, a landmark office tower in Hong Kong developed by Goldin Financial Holdings.
According to the filings, Mirae Asset Securities structured the deal and provided the mezzanine financing, investing ₩30 billion directly, while Multi Asset Management raised approximately ₩80 billion through a subordinated bond fund.
However, the building’s guarantor—a Hong Kong billionaire—filed for bankruptcy, and the senior lenders sold off the property, leaving lower-tier investors unable to recover their principal. In 2023, Multi Asset Management wrote down the fund by about 90%, effectively rendering most investments worthless.
Legal Claims and Context
While Mirae Asset Securities reached private settlements with non-professional investors, professional investors such as Daehan Steel and seven others were excluded from compensation.
They have now sued Mirae Asset Global Investments, claiming the firm unjustly benefited from fund management fees and failed to uphold fiduciary duties during and after the merger with Multi Asset Management.
The plaintiffs are seeking restitution of the alleged unjust enrichment—a legal claim under Korean civil law for recovery of profits obtained without just cause.
Industry Reaction and Implications
The case has reignited scrutiny over Korean asset managers’ overseas real estate exposure and due diligence practices, particularly following a string of losses in Hong Kong and Singapore property-backed products between 2020 and 2023.
Industry analysts note that this lawsuit could set a precedent for similar claims involving post-merger liability of asset management firms inheriting legacy fund risks.
A Mirae Asset Global Investments spokesperson declined to comment, citing ongoing legal proceedings.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
