Hanwha chairman's bail request rejected

By Na Jeong-ju

A Seoul court rejected a request for bail Wednesday by Hanwha Group Chairman Kim Seung-youn, who is serving a jail sentence after being convicted of embezzlement and breach of trust.

The 60-year-old tycoon was sentenced in August to four years in prison and a 5.1 billion won fine for misusing company funds to pay the debts of firms he ran under false names.

He applied for bail in November citing health problems. He once attended a court hearing with his left leg in a cast, walking on crutches.

The Seoul High Court, however, rejected his request, saying he didn’t deserve bail.

Hanwha claimed Kim’s health has deteriorated during his imprisonment.

The tycoon repaid 320 billion won of debts of firms he owned under false names, and embezzled company funds through a series of accounting frauds between 2004 and 2006.

He also evaded taxes by engaging in stock transactions using false-name bank accounts and had Hanwha subsidiaries sell shares to his older sister at below-market prices.