The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
The Korea Times
amn_close.png
amn_bl.png
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
amn_bl.png
Business
  • Tech
  • Bio
  • Companies
amn_bl.png
Finance
  • Companies
  • Economy
  • Markets
  • Cryptocurrency
amn_bl.png
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to President
  • Letter to the Editor
amn_bl.png
Lifestyle
  • Travel & Food
  • Trends
  • People & Events
  • Books
  • Around Town
  • Fortune Telling
amn_bl.png
Entertainment & Arts
  • K-pop
  • Films
  • Shows & Dramas
  • Music
  • Theater & Others
amn_bl.png
Sports
amn_bl.png
World
  • SCMP
  • Asia
amn_bl.png
Video
  • Korean Storytellers
  • POPKORN
  • Culture
  • People
  • News
amn_bl.png
Photos
  • Photo News
  • Darkroom
amn_NK.png amn_DR.png amn_LK.png amn_LE.png
  • bt_fb_on_2022.svgbt_fb_over_2022.svg
  • bt_twitter_on_2022.svgbt_twitter_over_2022.svg
  • bt_youtube_on_2022.svgbt_youtube_over_2022.svg
  • bt_instagram_on_2022.svgbt_instagram_over_2022.svg
  • Login
  • Register
  • Login
  • Register
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
  • 1

    Song Joong-ki marries British woman, expects baby

  • 3

    Suicidal pedestrian saved over Han River bridge

  • 5

    Kim Jung-hyun returns to small screen with 'Kokdu: Season of Deity'

  • 7

    Youth, foreign drug offenders increase threefold in 5 years

  • 9

    NK rejects alleged arms trading with Russia, warns of 'undesirable result'

  • 11

    'Someday or One Day' cast says film spin-off has new plot

  • 13

    Seoul International School celebrates 50th anniversary

  • 15

    Base taxi fare to rise by 1,000 won to 4,800 won next month

  • 17

    Koreans reluctant to unmask on first day of eased indoor mask rule

  • 19

    3 dead, 4 hurt in upmarket Los Angeles neighborhood

  • 2

    Japanese teen romance film attracts 1 mil. Korean viewers for 1st time in 21 yrs

  • 4

    Korea to lift indoor mask mandate Monday

  • 6

    US four-star general warns of war with China in 2025

  • 8

    INTERVIEWBusan has potential to be world-class city, says mayor

  • 10

    Samsung to introduce low-carbon diet for employees to help tackle climate change

  • 12

    K-pop releases for February

  • 14

    Plum trees, pheasants and promises of old Korea

  • 16

    Main opposition leader faces pressure to resign in case of indictment

  • 18

    S. Korea mistakenly fires machine gun near border with N. Korea

  • 20

    NATO chief calls for stronger security ties with S. Korea to counter China

Close scrollclosebutton

Close for 24 hours

Open
  • The Korea Times
  • search
  • all menu
  • Login
  • Subscribe
  • Photos
  • Video
  • World
  • Sports
  • Opinion
  • Entertainment & Art
  • Lifestyle
  • Finance
  • Business
  • National
  • North Korea
National
  • Politics
  • Foreign Affairs
  • Multicultural Community
  • Defense
  • Environment & Animals
  • Law & Crime
  • Society
  • Health & Science
Tue, January 31, 2023 | 05:34
Business
Pernod Ricard fined W10 bil. for tax evasion
Posted : 2014-10-10 18:07
Updated : 2014-10-13 22:20
Park Si-soo
Print PreviewPrint Preview
Font Size UpFont Size Up
Font Size DownFont Size Down
  • facebook
  • twitter
  • kakaolink
  • whatsapp
  • reddit
  • mailto
  • link
Jean-Manuel Spriet,Pernod Ricard Korea CEO
Jean-Manuel Spriet,
Pernod Ricard Korea CEO
By Park Si-soo

The National Tax Service (NTS) has fined the Korean unit of French whiskey maker Pernod Ricard 10 billion won for tax evasion, sources said Friday.


Sources said the tax authority was considering asking the prosecution to charge those responsible, including Pernod Ricard Korea CEO Jean-Manuel Spriet.

The tax agency found that the whiskey maker inflated costs for advertisements and other transactions so it could report lower profits and thereby avoid taxes, the sources said.

The NTS refused to confirm the report.

The latest scandal is another blow to the company, which already suffers from declining whiskey consumption in Korea because of the prolonged economic slump.

Pernod Ricard Korea's operating profit plunged 73.6 percent year on year in its 2013 fiscal year that ended in June, according to its report to the Financial Supervisory Service (FSS). It posted an 8.9 billion net loss on sales of 124.7 billion won, down 4.6 percent.

Pernod Ricard Korea officials were not immediately available for comment.

The NTS investigated the case for nearly six months. The company had allegedly overstated spending on advertisements and promotional campaigns between 2009 and 2013 so it could report an operating profit lower than it really was.

The company reported to the tax agency that cumulative spending on advertising and promotional events during the five years reached 506.6 billion won, accounting for 31 percent of its sales or 1.629 trillion won.

The figure is nearly double the advertising and promotional spending of Diagio, Korea's No. 1 whiskey maker by market share, during the same period ㅡ Diagio spent 280 billion won.

Pernod Ricard Korea's domestic sales have declined since the 2010 fiscal year, despite aggressive sales and marketing campaigns. The company reported 351.3 billion won in sales in 2010. This slipped to 333.7 billion won the following year and to 324.2 billion won in 2012. Last year, annual sales fell below 300 billion won.

In June, the company planned to lay off high-paid staff in a cost-saving drive, but withdrew the plan amid a fierce backlash from unionized workers.

Emailpss@koreatimes.co.kr Article ListMore articles by this reporter
 
Top 10 Stories
1Koreans reluctant to unmask on first day of eased indoor mask rule Koreans reluctant to unmask on first day of eased indoor mask rule
2[ANALYSIS] Pandemic awakens demand for data-driven automation ANALYSISPandemic awakens demand for data-driven automation
3Over 76% of South Koreans support development of nuclear weaponsOver 76% of South Koreans support development of nuclear weapons
4Busan seeks to take lead in expo race after BIE's April visit Busan seeks to take lead in expo race after BIE's April visit
5Retailers seek to bolster beauty product sales as lifting of mask mandate approaches Retailers seek to bolster beauty product sales as lifting of mask mandate approaches
6Biohealth geared for growth Biohealth geared for growth
7Stock-leveraged investments rise again amid bullish KOSPI Stock-leveraged investments rise again amid bullish KOSPI
8Korea-US defense talks likely to bring up extended deterrence Korea-US defense talks likely to bring up extended deterrence
9Seoul mayor accuses liberals of leading nation in wrong direction Seoul mayor accuses liberals of leading nation in wrong direction
10NK slams NATO chief's Seoul visit as 'prelude to war'NK slams NATO chief's Seoul visit as 'prelude to war'
Top 5 Entertainment News
1Song Joong-ki marries British woman, expects babySong Joong-ki marries British woman, expects baby
2Kim Jung-hyun returns to small screen with 'Kokdu: Season of Deity' Kim Jung-hyun returns to small screen with 'Kokdu: Season of Deity'
3'Someday or One Day' cast says film spin-off has new plot 'Someday or One Day' cast says film spin-off has new plot
4K-pop releases for February K-pop releases for February
5Itaewon music fest brings love to the healing process Itaewon music fest brings love to the healing process
DARKROOM
  • Nepal plane crash

    Nepal plane crash

  • Brazil capital uprising

    Brazil capital uprising

  • Happy New Year 2023

    Happy New Year 2023

  • World Cup 2022 Final - Argentina vs France

    World Cup 2022 Final - Argentina vs France

  • World Cup 2022 France vs Morocco

    World Cup 2022 France vs Morocco

CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Contact Us
  • Products & Services
  • Subscribe
  • E-paper
  • RSS Service
  • Content Sales
  • Site Map
  • Policy
  • Code of Ethics
  • Ombudsman
  • Privacy Statement
  • Terms of Service
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group