Prosecution Wont Appeal Samsung Case
A series of legal battles over Samsung’s suspicious deals to transfer ownership to the third generation of its founding family came to an end Thursday after the prosecution decided not to appeal the sentence imposed on former group Chairman Lee Kun-hee.
The sentence, handed down by a high court last week on charges of breach of trust, was the last ruling in a series of litigations against the country’s largest conglomerate for its dubious financial deals in an attempt to transfer ownership to Lee’s only son, Jae-yong.
Special prosecutor Cho Joon-woong said in a press release, My colleagues and I have reached the conclusion not to appeal the case to the Supreme Court. Though the ruling was unsatisfactory, we have decided to accept it.”
Last Friday, the Seoul High Court sentenced the former chairman to a three-year prison term suspended for five years for illegal bond trading which caused financial damage to Samsung SDS. Lee was also fined 110 billion won (about $89 million).
In previous hearings, the prosecution insisted that Lee and other Samsung executives inflicted billions of won in damage to the company in 1999 by selling its bonds with warrants (BW) at below the fair market price.
“If Samsung appeals the case, we will follow suit,” the prosecutor said. The deadline for the appeal is set for today. Samsung has not yet announced its decision.