Samsung chief held in graft probe
Prosecutors have up to 10 days to indict Lee, who has denied wrongdoing in the case
Special prosecutor will indict Lee, scion of South Korea’s richest family, on charges of bribery, embezzlement, hiding assets overseas and perjury
Samsung Group chief Jay Y. Lee was arrested yesterday over his alleged role in a corruption scandal rocking the highest levels of power in South Korea, dealing a fresh blow to the technology giant and standard-bearer for Asia’s fourth-largest economy.
The special prosecutor’s office accused Lee of bribing a close friend of President Park Geun-hye to gain government favours related to leadership succession at the conglomerate. It said yesterday it would indict him on charges including bribery, embezzlement, hiding assets overseas and perjury. The 48-year-old Lee, scion of the country’s richest family, was taken into custody at the Seoul Detention Centre early yesterday after waiting there overnight for the decision. He was being held in a single cell with a TV and desk, a jail official said.
Lee is a suspect in an influence-peddling scandal that led parliament to impeach Park in December, a decision that if upheld by the Constitutional Court would make her the country’s first democratically elected leader forced from office.
Samsung and Lee have denied wrongdoing in the case.
Prosecutors have up to 10 days to indict Lee, Samsung’s third-generation leader, although they can seek an extension. After indictment, a court would be required to make its first ruling within three months. Prosecutors plan to question Lee again tomorrow.
No decision had been made on whether Lee’s arrest would be contested or whether bail would be sought, a spokeswoman for Samsung Group said. “We will do our best to ensure that the truth is revealed in future court proceedings,” the Samsung Group said in a brief statement after Lee’s arrest.
Not the first
The same court had rejected a request last month to arrest Lee, but prosecutors this week brought additional accusations against him. “We acknowledge the cause and necessity of the arrest,” a judge said in his ruling.
Lee is not the first in his family to face criminal charges. His father was convicted in 2008 and 2009 for embezzlement and tax evasion related to business dealings designed to pass down wealth to his son. Lee Kun-hee, the ailing chairman, stepped away from his role at the company when prosecutors indicted him in 2008. The younger Lee will likely follow a similar course and stay away from leadership role once investigators formally bring charges against him.