[서울신문] Samsung Compliance Committee “Comply with the laws” principled position… Avoiding the judgment of’Lee Jae-yong’s employment restriction’

Samsung Compliance Committee’s discussion on’Jeyong Lee’s employment restrictions’
Expected to resolve the controversy, but announced a principled position
‘Lee Jae-yong’ employment restrictions’ controversy seems to continue

The Samsung Compliance Committee announced on the 19th that it would recommend that there should be no illegal acts in relation to the employment restrictions of Samsung Electronics Vice Chairman Lee Jae-yong. Since the legal interpretation controversy is still sharp, it is interpreted that it has not been able to clarify any guidelines and has actually stepped back and revealed only a principled position.

The Compliance Committee held a regular meeting at the Seocho Tower of Samsung Life Insurance in Seoul on the same day, and in a press release, “There are uncertainties about the scope of the restrictions and requirements regarding the restrictions on employment of Vice Chairman Lee.” Therefore, it will be recommended to Samsung Electronics to prevent any misconduct.”

Last month, when the Ministry of Justice informed Vice-Chairman Lee as “restricted from employment,” Lee’s management activities were at the center of controversy. This is because, according to Article 14 of the Specific Economic Crimes Aggravated Penalty Act, if a person commits a crime such as embezzlement or malpractice over 500 million won, the execution of the imprisonment sentence is terminated or from the date it is decided not to be executed, it is stipulated that employment is restricted to related companies for five years. Vice-Chairman Lee was sentenced to two years and six months in jail in January after being subject to the Special Act on charges of bribing the former President of 8.68 billion won.

In this regard, Vice Chairman Lee maintains a position that he is not a’employment restriction target’ because his sentence is currently being executed. Some argue that the restriction on employment is limited to new employment and does not affect the existing position. Currently, Vice Chairman Lee has not been paid from Samsung Electronics since 2017 and is not a registered executive.

However, at the Samsung Electronics Shareholders’ Meeting on the 17th, some civic groups argued that “Vice Chairman Lee has changed to part-time work only, and he is still holding his position.” . In addition, the Participation Solidarity argued that “It is superior to the Compliance Committee, which is nothing but an external monitoring committee, to determine Lee’s employment.” The Solidarity for Economic Reform also demanded a dismissal from the board of directors of Samsung Electronics on the 10th, saying that there is a problem with Lee’s’in-door management’ while he is executing his sentence.

The controversy is expected to continue for a while, as the Compliance Committee, which was expected to come up with certain guidelines regarding employment restrictions, has only “must abide by the laws”. It is expected that vice chairman Lee will continue to argue over legal interpretation as to whether it is okay to conduct’in-house management’ or whether he should withdraw from the management front for the time being after he has finished living with his brother. For Samseon Electronics, it is highly likely that the continuation of the controversy without clear resolution will act as a burden.

An official from the Compliance Committee said, “The Compliance Committee cannot interpret the vote.” “The Compliance Committee has not concluded whether it is subject to employment restrictions. In the future, we will have to interpret the law according to the principles.”

Meanwhile, the Compliance Committee announced on the day that the vacancy created by the resignation of Kwon Tae-seon last year will be filled by Professor Won Sook-yeon of Ewha Womans University, recommended by Chairman Kim Ji-hyung.

Reporter Jaehee Han [email protected]