Twin brothers who operated a controversial business reselling thousands of golf course tee times have pleaded guilty to federal tax crimes, admitting they failed to report substantial income from their operations.
At a court hearing in Los Angeles, Se Youn “Steve” Kim pleaded guilty to filing a false tax return, while his brother, Hee Youn “Ted” Kim, pleaded guilty to tax evasion. Their plea agreements reveal combined unreported income exceeding $1.3 million from the tee-time business and other sources. Both brothers acknowledged failing to report income generated by their tee-time resale venture, though the exact amounts from this specific business are not fully quantified in the agreements. Steve Kim admitted to omitting over $27,500 in earnings on his 2021 tax return.
The brothers also admitted to falsely claiming exemptions from federal income tax withholding during their employment as MRI technicians. The plea agreements stipulate that the brothers will pay at least $581,616 in restitution to cover tax losses that extend to years prior to their tee-time brokering activities.
The Kims, who are currently free on bond, are scheduled for sentencing on January 12. Ted Kim faces a potential sentence of up to five years in federal prison, while Steve Kim could receive a maximum of three years. Representatives for both brothers and their legal counsel declined to comment following their pleas.
Federal prosecutors had previously alleged that the brothers "created a monopoly" over Southern California golf courses by rapidly securing popular early morning tee times immediately after they became available to the public. Their guilty pleas coincide with the recent signing of legislation by Governor Gavin Newsom, which prohibits third-party brokers from advertising, selling, or transferring tee time reservations at publicly owned golf courses without explicit consent from the course operator.
This legislation addresses growing concerns over brokers obtaining reservations at Los Angeles municipal courses and reselling them, often advertised through social media platforms such as KakaoTalk. The Kim brothers' plea agreements confirm that, starting around 2021, they reserved thousands of tee times at numerous Los Angeles-area golf courses and resold them for a fee. An earlier indictment had alleged their tee-time brokering business generated nearly $700,000 between 2021 and 2023, though the plea agreements do not specify the exact portion of their total unreported income derived from this business.
