(Bloomberg) -- Convicted executives of the family-run conglomerates that dominate business in South Korea often get their sentences reduced or suspended -- and eventually a pardon from the president. On that basis, Monday's ruling for Samsung Electronics heir apparent Jay Y. Lee was in line with history, despite growing pressure for corporate reform.
Here are some of the more notable cases:
- Shin Dong-bin, Lotte Group Chairman, received a suspended 20-month prison term in December on charges of embezzlement and breach of fiduciary duty. Shin Kyuk-ho, the founder of Lotte, was sentenced to four years in prison, while his elder son Shin Dong-joo was acquitted.
- Lee Kun-hee, Samsung Group chairman and Jay Y.'s father, was convicted twice: once for tax evasion in 2008 and for bribery in 1996. He was given a suspended three-year prison sentence for tax evasion (later pardoned by President Lee Myung-bak) and a suspended two-year prison term for bribery.
- Chung Mong-koo, Hyundai Motor Group chairman, was convicted of embezzlement and breach of duty in 2007. He was given a suspended three-year prison term. Chung was detained for almost two months following his arrest in April 2006, before he was released on bail and also pardoned by President Lee.
- Chey Tae-won, SK Group chairman, was jailed twice. He was sentenced to four years in prison in 2013 for embezzling corporate funds but was pardoned in 2015 by President Park Geun-hye. In 2003, he was sentenced to three years before he was pardoned in 2008.
- Lee Jay-hyun, CJ Group chairman, was sentenced to four years in 2014 for embezzlement, breach of fiduciary duty and tax evasion before that was eventually reduced to two-and-a-half years. Lee, who is Jay Y.'s cousin, has been in and out of jail during that period because of complications stemming from a kidney transplant in 2013. President Park pardoned Lee in August 2016.
- Kim Seung-youn, Hanwha Group chairman, was convicted at least twice, once for embezzlement in 2012 for which he was sentenced to four years, and for assault in which he received an 18-month sentence in 2007. Both sentences were suspended. He received a pardon for his assault conviction from President Lee Myung-bak in 2008.
To contact the reporter on this story: Sohee Kim in Seoul at skim847@bloomberg.net.
To contact the editors responsible for this story: Peter Pae at ppae1@bloomberg.net, Edwin Chan
©2018 Bloomberg L.P.
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