Print

Mail

wiki links

Prosecutors raid office of Samsung Group chairman

Investigators probing alleged corruption at the Samsung Group raided an office of chairman Lee Kun-hee, an official said yesterday, as part of a special investigation reluctantly approved last year by South Korea's president.

Kang Dong-ju, an official with the team carrying out a probe, said that a total of eight locations associated with Samsung executives were raided. South Korean media earlier said Lee's home was part of the sweep, though Kang only mentioned an office.

Lee, who late last year marked 20 years at the helm of Samsung, a huge conglomerate with dozens of companies, is widely reported to mostly work from his residence. Photos and television footage showed what appeared to be prosecutors leaving Lee's Seoul residence.

South Korea's National Assembly in November passed legislation authorizing the independent counsel investigation, which was subsequently signed into law by South Korean President Roh Moo-hyun.

The probe, which started last week, came after Kim Yong-chul, a former top legal affairs official at Samsung, alleged that the conglomerate, set up a US$215 million slush fund to bribe influential figures such as prosecutors, judges and government officials.

Samsung has denied any wrongdoing.

Kim, a former prosecutor himself, alleged that Samsung used Samsung Corp -- its trading arm -- to create the pool of money through intricate contracts with other group affiliates and that family members of Lee used some of the money to buy expensive art work.

Investigators were also tasked with looking into opposition claims that Roh received Samsung money before and after the 2002 presidential election.

Roh, who leaves office on Feb. 25, had criticized the legislature's passage of the bill but ultimately signed it.
This story has been viewed 612 times.