Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

South Korea orders further arrests at Samsung Electronics over accounting scandal

Published 05/24/2019, 01:49 PM
Updated 05/24/2019, 01:50 PM
© Reuters. FILE PHOTO: The logo of Samsung Electronics is seen at its office building in Seoul

© Reuters. FILE PHOTO: The logo of Samsung Electronics is seen at its office building in Seoul

SEOUL (Reuters) - A South Korean court approved arrest warrants on Saturday for two executives at Samsung Electronics (KS:005930) Co Ltd over their alleged roles in a suspected accounting fraud at the biotech arm of Samsung Group.

The Seoul Central District Court said in a statement it had granted warrants to arrest the executives due to concerns over possible destruction of evidence.

However, the court rejected the prosecution's request for a warrant to arrest the chief executive of Samsung BioLogics Co Ltd.

Two Samsung Electronics officials were also arrested on suspicion of destroying evidence earlier this month.

South Korea's financial watchdog in November accused the biotech arm of Samsung Group of breaking accounting rules ahead of its 2016 listing, sparking a criminal investigation.

Both Samsung Electronics and Samsung BioLogics were not immediately available for comment.

The widening probe comes at an awkward time for Samsung Group, South Korea's top family-run conglomerate, as de facto head and heir Jay Y.Lee awaits a Supreme Court ruling on bribery charges and political pressure builds for greater transparency in its governance.

Samsung BioLogics had been touted as a new growth engine for Samsung Group amid a slowdown in the global smartphone market. Samsung Electronics is the second-biggest shareholder of BioLogics with a 31.5 percent stake.

© Reuters. FILE PHOTO: The logo of Samsung Electronics is seen at its office building in Seoul

Samsung Electronics had no comment on the case earlier, except that it was cooperating with prosecutors.

Latest comments

Politically motivated Pro-north Korea regime of Moon is fabricating crimes as they did the same to former presidents, Ms. Park, and Mr. Lee.   All tangled up in greed, power, and ideology to undermine the democracy of the nation.  Public or private makes no difference to them.  This is all about turning South Korea into North Korea, total authoritarian.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.