The court stated that they have finally produced enough evidence to arrest and detain Samsung head Jay Y. Lee

In the latest update on the political scandal that has been going around since last year, South Korean prosecutors had arrested Samsung Electronics de-facto head Jay Y. Lee on Friday.

LA Times reported that Lee was arrested over several allegations including bribery, embezzlement, and perjury.

The court stated that they have produced enough evidence to detain and arrest him, despite their earlier denials made weeks ago.

According to Judge Han Jeong-suk, the cause and necessity for the arrest has been acknowledged based on “newly gathered” criminal charges and evidence.

Prior to announcing his arrest, the special prosecutors have requested the country’s acting president, Prime Minister Hwang Kyo-ahn, for an extra one month to investigate the case as the 70-day window comes to an end.

After previous denial by the court, this week they were finally able to bring Lee back for a new questioning at their office.

Also Read: With eye on self-driving cars, Samsung and NVIDIA invest US$75M in Soundhound to battle Alexa, Siri

The allegations against Lee was part of a large political scandal involving President Park Geun-hye, which led to a massive street protest in the past months and a separate court process to decide her impeachment.

According to the prosecutors, Lee has diverted “millions of dollars” to presidential confidant Choi Soon-sil to boost support for a controversial merger between two Samsung affiliates.

The deal has been seen as part of Lee’s effort to solidify control over the larger group of Samsung companies, following his taking over the company after his father Lee Kun-hee’s hospitalisation in 2014.

“I will again in good faith tell the truth during the special prosecutor’s interrogation today,” he said, before entering the prosecutor’s office. He was reported to leave the office after 15 hours of interrogation.

Apart from himself, two of the president’s top aides, a Cabinet minister and the head of the nation’s pension service have also been implicated.

Samsung’s future

The next question will be how this scandal will affect the future of Samsung, which is currently dealing with aftermaths of the Samsung Galaxy Note 7 battery explosion incidents.

As seen in the following graphic, Samsung’s stock price in the Korea Exchange (KRX) has been slipping for 1.42 per cent per February 17, 12:08 PM (GMT+9).

Regarding Lee’s arrest, Samsung spokesperson Rhee-So-eui stated that the company will do their best to ensure that “the truth is revealed in future court proceedings.”

it remains to be seen when the case would proceed and how long Lee will stay in jail, assuming that he will remain arrested. Back in 2008, Lee’s father did not serve time in jail despite being accused of financial wrongdoings, thanks to a pardon from then-President Lee Myung-bak.

—

Image Credit: jinga / 123RF Stock Photo

The post Samsung head arrested over involvement in South Korean political scandal appeared first on e27.