Kumho Petrochemical’s Chairman Park Chan-gu ruling
The same logic seems to be applied to this vice chairman.
Samsung Electronics Vice Chairman Lee Jae-yong is present at the hearing of the ruling and repatriation of the case of Gukjeong Nongdan held at the Seoul High Court in Seocho-gu, Seoul in January. By Kim Hye-yoon, staff reporter [email protected]
The court judged that the total number of companies convicted of embezzlement or malpractice over 500 million won could not conduct business activities as soon as the sentence was confirmed. This is to the effect that it is not possible to conduct business activities while serving or probation. It is predicted that it will not be easy for him to return to work after receiving approval from the Ministry of Justice during the period of employment restrictions, as well as the’outdoor management’ of Samsung Electronics Vice Chairman Lee Jae-yong, who recently received a notice of’employment restrictions’ from the Ministry of Justice. Summarizing the coverage on the 24th, the 7th administrative division of the Seoul Administrative Court (presiding judge Kim Kook-hyun) ruled on the defeat of the plaintiff in a lawsuit for cancellation of disposition filed against the Ministry of Justice, which was filed by Park Chan-gu, chairman of Kumho Petrochemical, against the Ministry of Justice, which notified the restriction of employment. Chairman Park was convicted of three years in prison and five years probation in November 2018 on charges of appointing 13 billion won. He tried to return to Kumho Petrochemical’s CEO the following year, but when his employment was restricted according to the employment restriction provisions of the’Act on Aggravated Punishment for Specific Economic Crimes, etc.’ (the Special Economy Act), he filed a lawsuit saying, “The grace period is not included in the employment restriction period.” I made it. The logic was that employment restrictions were applied after the probation period was over.
material photo” alt=”Park Chan-gu, Chairman of Kumho Petrochemical. Park Chan-gu, Chairman of Kumho Petrochemical. <한겨레> Material photo
The court did not accept Chairman Park’s argument, saying, “Employment restrictions must start from the time the conviction is convicted so that the purpose of (employment) restrictions can be saved and its effectiveness can be secured.” The reason for the restriction on employment is that “the purpose is to protect related enterprises and establish a sound economic order by preventing criminals from exerting influence for a certain period of time”, so it cannot be seen as a probation period. In the meantime, some of the business circles have consistently raised claims that’indoor management is possible’ using the ambiguity of the law. This is because, in the Special Administrative Provisions Act, the time limit for employment is specified as ‘5 years after the end of the sentence and 2 years after the end of the sentence’, but it was not clear whether it was applied during the execution of the sentence. However, the court’s decision made this argument lose its power. Vice Chairman Lee Jae-yong is also likely to be difficult to do’outdoor management’. Vice-Chairman Lee was sentenced to two years and six months in prison for bribing former President Park Geun-hye and Choi Soon-sil (after renaming Choi Seo-won) with Samsung Electronics money of 8.6 billion won and was sentenced to two years and six months in prison. Lee Chang-min, a professor at Hanyang University (Business Administration Department), predicted, “It will be difficult for the vice-chairman Lee, who has a substantial influence on Samsung, to return due to employment restrictions, regardless of whether he is an unregistered executive or not receiving compensation.” Vice-Chairman Lee may return to management after deliberation by the Ministry of Justice’s Specific Economic Crimes Management Committee and approval from the Minister of Justice, but in light of the purpose of this ruling, it will not be easy. This is because, if you look at the decision in the case of Chairman Park, “proof that (the applicant) can perform the work irreplaceably” is necessary. Prof. Chang-min Lee said, “There were several vacancy in this vice chairman, but Samsung Electronics was operated without a big problem.” “The moment Samsung Electronics, a global company, announced that vice chairman Lee is an’impossible entity’, it means that (the chief) acknowledges the risk. Rather, it can act as an anxiety factor in the market.” By Shin Min-jeong, staff reporter [email protected]