City profiles

Lee Jae-yong Can things possibly get any worse for Samsung’s crown prince? Lee Jae-yong has been in the hot seat at South Korea’s largest conglomerate since his father, the current chairman, disappeared from view following a heart attack in May 2014, said Wsj.com. He recently faced “his first critical leadership test” when he “pulled the plug” on Samsung’s flagship Galaxy Note 7 smartphone, following a disastrous spate of exploding batteries. Profits have duly plunged.

Now Samsung and its heir apparent have been dragged into the biggest political scandal to have hit South Korea for decades. Prosecutors have raided Samsung Electronics’ offices as part of their probe into Choi Soon-sil – the now notorious confidante of President Park Geun-hye – who was detained last week on charges of fraud and abuse of power. Choi is accused of coercing dozens of South Korean companies to donate millions of dollars to “foundations” she controlled, said BBC News online. Samsung allegedly coughed up g2.8m to bankroll a German equestrian firm that Choi co-owned with her daughter, a dressage competitor. The company has declined to comment. “The internet is filled with rumours and speculation linking anything, everything with Choi,” said Oh Youngjin in The Korea Times. But some “industry watchers say Samsung pays only when it is worth it” – meaning that the firm “knew Choi was the woman behind the curtain”. Samsung may yet be entirely exonerated. But its embroilment in this fiasco is the last thing Lee Jae-yong needs at this “critical juncture” in the conglomerate’s history.