South Korea police raid Starbucks HQ over 'Tank Day' fiasco

South Korean police conducted a search and seizure at the Starbucks Korea headquarters on Wednesday (Aug 5) following allegations that the company's "Tank Day" advertising campaign disrespected activists killed during the 1980 pro-democracy protests. The promotion, launched in May, featured large-capacity cups for its beverages and fell on the anniversary of the Gwangju uprising, which saw at least 165 deaths.

A civic group and bereaved families filed a complaint, accusing Starbucks Korea's operator, the Shinsegae Group, of defaming and insulting the victims. The chain's CEO, Son Jung-hyun, had already resigned over the controversy. Police are investigating beyond the company's internal findings, which claimed there was no intentional wrongdoing but acknowledged limitations in the audit process.

The incident caused a significant sales drop in the early days of the scandal, with credit and debit card payments falling 17% from May to June.