State prosecutors said Sunday they may summon Samsung Group Chairman Lee Kun-hee soon for questioning on his involvement in an illicit transfer of wealth.
The chairman and his lieutenants are accused of being involved in a deal in which his only son Jay-yong and three of his sisters were able to buy convertible bonds issued by the amusement park operator Everland, Samsung Group's de facto holding company, at a below-market price in 1996.
The deal allowed the 38-year-old son to gain control of South Korea's biggest family-owned conglomerate. He is now senior vice president of Samsung Electronics Co., the world's largest computer memory chip manufacturer.
Everland, South Korea's largest amusement park, is the largest shareholder of Samsung Life Insurance Co., which owns the biggest single stake in Samsung Electronics. The electronics giant in turn is the largest shareholder of Samsung Card Co., and the card company holds the controlling stake in Everland.
Last week, Hong Seok-hyun, former chairman of the JoongAng Ilbo and former South Korean Ambassador to the U.S., was called in for questioning about why the daily newspaper, a shareholder of Everland, eventually gave up taking over the Everland convertible bonds in 1996.
Late last year, the former and incumbent presidents of Everland were convicted for arranging the illicit bond sale. However, no one in the Lee family has so far been investigated in regard to the case, which triggered criticism over the prosecutors' relatively lenient stance toward the family.
Seoul, Aug. 13 (Yonhap News)
Samsung Chairman Lee may be summoned on transfer of wealth |
