The billionaire Samsung Electronics Vice Chairman and heir, Lee Jae-yong, was sentenced to five years in prison for paying bribes worth 8.9 billion won ($7.9 million) to a friend of then-president Park Geun-hye to win her support for the merger of two Samsung affiliates. The sentence marks a “watershed moment” for the country’s decades-long economic order dominated by powerful, family-run conglomerates.
Lee Jae-yong, Samsung Group heir arrives at Seoul Central District Court
to hear the bribery scandal verdict on August 25, 2017
The six-month trial over a scandal that brought down the then president, Park Geun-hye, concluded with a ruling that Lee had approved Samsung Electronics’ plan to send 7.3 billion won to Choi Soon-sil, Park’s longtime friend, through a German shell company, and to offer horses to her daughter, in anticipation of favors from Park. The court also found that Lee made an improper payment of 1.6 billion won to Choi through a sports center controlled by her. The merger of the two Samsung companies, which narrowly won shareholder approval with the backing of the National Pension Service, strengthened Lee’s control over the group. The court also found Lee guilty of hiding assets abroad, embezzlement and perjury.
This post was published at Zero Hedge on Aug 25, 2017.
Follow on Twitter
Recent Comments