NisFan
01-05-2006, 03:20 AM
South Korea arrests Hyundai Motor chairman
SEOUL -- South Korea arrested Chung Mong-koo, the chairman of the country's top automaker Hyundai Motor group, on Friday on charges of misusing company funds.
Chung was transferred to the Seoul Corrections Bureau, according to a Reuters photographer, after attending a court session for review of a warrant for his arrest.
A senior prosecutor said earlier by telephone that a Seoul court had issued the warrant to arrest Chung. Prosecutors sought the arrest on charges of embezzlement, accusing him of creating slush funds and misappropriating company funds.
Cable news channel YTN showed the 68-year-old chairman, in his business suit, leaving the prosecution office in a Hyundai car escorted by two prosecution officials.
The news comes amid concerns of a leadership vacuum at Hyundai, which is pushing to become the world's fifth-biggest car firm by 2010 along with affiliate Kia Motors Corp.
Prosecutors are also seeking to indict Chung Eui-sun, the chairman's son and president of Kia, without detaining him.
Both executives were questioned in the past week over whether the Hyundai group operated slush funds and offered cash for political favors via a lobbyist.
The probe has also touched on how the country's sprawling family-run conglomerates, or chaebol, shift money within group companies, using complex share ownership networks to control their businesses.
Embezzlement and misappropriation of corporate funds in cases involving more than $4.8 million (5 billion won) can carry life jail terms in South Korea.
"I'm speechless," a Hyundai Motor spokesman said. "We are in shock," he said, declining to discuss details.
اعتقاله بتهم الاختلاس واساءت استغلال اموال الشركه
والرشوه !!
وبيحثون في امر ولده رئيس الكيا !!!
المصدر Automotive News
SEOUL -- South Korea arrested Chung Mong-koo, the chairman of the country's top automaker Hyundai Motor group, on Friday on charges of misusing company funds.
Chung was transferred to the Seoul Corrections Bureau, according to a Reuters photographer, after attending a court session for review of a warrant for his arrest.
A senior prosecutor said earlier by telephone that a Seoul court had issued the warrant to arrest Chung. Prosecutors sought the arrest on charges of embezzlement, accusing him of creating slush funds and misappropriating company funds.
Cable news channel YTN showed the 68-year-old chairman, in his business suit, leaving the prosecution office in a Hyundai car escorted by two prosecution officials.
The news comes amid concerns of a leadership vacuum at Hyundai, which is pushing to become the world's fifth-biggest car firm by 2010 along with affiliate Kia Motors Corp.
Prosecutors are also seeking to indict Chung Eui-sun, the chairman's son and president of Kia, without detaining him.
Both executives were questioned in the past week over whether the Hyundai group operated slush funds and offered cash for political favors via a lobbyist.
The probe has also touched on how the country's sprawling family-run conglomerates, or chaebol, shift money within group companies, using complex share ownership networks to control their businesses.
Embezzlement and misappropriation of corporate funds in cases involving more than $4.8 million (5 billion won) can carry life jail terms in South Korea.
"I'm speechless," a Hyundai Motor spokesman said. "We are in shock," he said, declining to discuss details.
اعتقاله بتهم الاختلاس واساءت استغلال اموال الشركه
والرشوه !!
وبيحثون في امر ولده رئيس الكيا !!!
المصدر Automotive News