Seoul: The chairman of private equity firm MBK Partners, Kim Byung-ju, alongside three other senior executives, is set to face a hearing this week to determine the issuance of arrest warrants linked to the controversial sales of short-term bonds of the struggling retailer Homeplus Co.

According to Yonhap News Agency, the Seoul Central District Court is scheduled to conduct the hearing on Tuesday. Prosecutors have sought arrest warrants for Kim and the other senior executives, including a co-chief executive of Homeplus, citing charges of fraud and violations of the Capital Markets Act. The court's decision is anticipated to influence the ongoing conflict between MBK Partners and Korea Zinc Co.

MBK Partners and Korea Zinc, a leading entity in the zinc smelting industry, have been embroiled in a contentious dispute over management control. Observers within the industry suggest that Korea Zinc Chairman Choi Yun-beom might gain a strategic advantage in this management struggle against an alliance between Young Poong Corp., the company's largest shareholder, and MBK Partners.

In a related development, Korea Zinc announced in December its plans, in collaboration with the U.S. government, to invest approximately 10 trillion won in constructing a critical metals refinery in Tennessee. This venture involves transferring a 10 percent stake to their joint enterprise, a move expected to strengthen Choi's control during the upcoming shareholders' meeting in March. Meanwhile, Kim Byung-ju's legal challenges concerning Homeplus remain a focal point.