Lee Jae-yong, the de facto head and vice president of Samsung, is in bother once more after the Seoul Central District Prosecutors’ Administrative center filed an arrest warrant for him and two former executives, Choi Ji-sung and Kim Jong-joong.
Again in 2017 Lee was once sentenced to five years in jail, following an investigation into fees of bribery, embezzlement and perjury (he was once launched quickly after in 2018).
This time round, Lee and the 2 former pros are charged with committing unlawful transactions and marketplace manipulation associated with the merger between Samsung C&T and Cheil Industries again in 2015.
Cheil is a significant proprietor of Samsung BioLogics and Lee is Cheils biggest shareholder. What the prosecution is alleging is that accounting fraud was once dedicated to spice up the valuation of BioLogics (by means of $3.7 billion, in step with a Korean monetary watch canine), simply earlier than the merger with Samsung C&T. Cheil Industries is itself an associate of the Samsung Team, theres so much to untangle right here.
In July final yr the prosecution asked arrest warrants for 3 executives of Samsung BioLogics, together with CEO Kim Tae-han. They had been accused of fixing the possession standing of Samsung Bioepis from subsidiary to associate, which induced a distinct accounting means, inflicting a surge within the valuation of Bioepis (and in flip the valuation of BioLogics and Cheil Industries).