Factbox: Samsung leader Jay Y. Lee's other legal woes

Samsung Securities Co

09/08/2021 11:03

SEOUL, Aug 9 (Reuters) - Samsung Electronics  005930.KS 
Vice Chairman Jay Y. Lee, convicted of bribery and embezzlement,
has qualified for parole.  urn:newsml:reuters.com:*:nL1N2PG0EI 
    But he still has other serious legal woes.
    Following is a summary: 

    ACCUSED OF ACCOUNTING FRAUD, STOCK MANIPULATION
    Prosecutors argue the 2015 $8 billion merger of two Samsung
companies - Samsung C&T Corp  028260.KS  and Cheil Industries - 
involved unlawful activities aimed at cementing Lee's control of
the conglomerate. 
    He was indicted in September 2020, accused of unfair
transactions and manipulation of market prices under the Capital
Markets Act, breach of trust during the course of business, and
false disclosure and accounting fraud under the External Audit
Act.  urn:newsml:reuters.com:*:nL4N2FY1JZ
    Lee has denied the accusations and his lawyers have argued
that the merger and its terms fell within the normal scope of
business decisions.
    The trial, which began in October, has so far focused on the
testimony of one witness, a Samsung Securities  016360.KS 
employee, as well as internal documents and emails.
    It is expected to continue until at least late next year due
to the complexities of the case and delays in hearings due to
the pandemic.
    Legal experts say that if Lee is convicted, he may be sent
to jail again. In cases such as these, any sentence, including
whether it is suspended or not, will depend on the court's
assessment of how much money a defendant has gained, they say.
    
    ACCUSED OF UNLAWFULLY USING SEDATIVES
    In late June, the Seoul Central District Court ordered that
Lee should stand trial to answer accusations concerning unlawful
use of a sedative. 
    This was at odds with South Korean prosecutors' plan to seek
a 50 million won ($45,000) fine for the alleged unlawful use.
 urn:newsml:reuters.com:*:nL3N2NM2GC
    Lee's counsel has said the medication was not unlawful as it
was part of hospital treatment. In March, an independent panel
recommended prosecutors cease investigating Lee over this
matter.     
    The first hearing is expected to be held on Aug 19.
    

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TIMELINE-Samsung leader Jay Y. Lee's legal troubles   
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Samsung leader Jay Y. Lee qualifies for parole -Justice Ministry
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 (Reporting by Joyce Lee; Editing by Edwina Gibbs)
 ((jungyoon.lee@tr.com; +82 2 6936 1467;))