TechDigits

Tech news
Wednesday, Feb 01, 2023

South Korea pardons Samsung's Jay Y Lee in bid to revive the economy

South Korea pardons Samsung's Jay Y Lee in bid to revive the economy

The de facto leader of Samsung, Lee Jae-yong, was pardoned by South Korea's president on Friday for crimes including bribery, allowing him greater freedom to run the smartphone and semiconductor giant.

The billionaire was twice sent to prison but had been out on parole since last year, but the special pardon ends a five-year ban on Lee holding a formal position at Samsung. The company's shares were up 1% in Seoul on the news.

"I will work harder and fulfill my duties as an entrepreneur," Lee said after his pardon was granted. "I will contribute to the economy through continuous investment and job creation for young people, and repay the expectations of the people and the government's consideration."

Lee has been operating as Samsung's de facto leader since 2014, when his father fell into coma after suffering a heart attack. The senior Lee died in 2020.

His pardon comes ahead of the country's Liberation Day which marks the liberation of Korea from Japanese imperial rule in 1945. The South Korean government often grants pardons around Liberation Day.

Lee, also known widely as Jay Y. Lee, had been sentenced to five years in prison for embezzlement and bribery in August 2017, but he walked free after less than a year in 2018 when an appeals court threw out some of the charges and suspended the sentence.

However, Lee was sent back to prison in January 2021 after being sentenced to two and a half years without a suspension after the Seoul High Court found him guilty of embezzlement and bribery. He was released on parole on Liberation Day last August.

Along with Lee, Lotte Group's Chairman Shin Dong-bin and two other business leaders were included in the group pardoned or reinstated by President Yoon Suk Yeol.

South Korea's Justice Minister Han Dong-hoon on Friday said, "To overcome the economic crisis by revitalizing the economy, Samsung's Vice Chairman Lee Jae-yong, who's term has recently ended, will be reinstated."

Despite an uncertain economic environment exacerbated by long-running supply chain issues and the war in Ukraine, Samsung has outlined some bold investments plans this year. In May, the South Korean conglomerate said it would pour more than $350 billion into its businesses and create tens of thousands of new jobs over the next five years, most of which would be in South Korea.


No employment restrictions for Lee


The pardon paves the way for Lee to work without restrictions.

According to South Korean law, if a person is convicted of embezzlement or breach of trust worth more than 500 million Korean won ($384,101), that person cannot work for a company related to the crime for five years even after the prison sentence ends. Reinstatement will lift the employment restrictions on Lee.

However, his legal troubles may not be over.

He faces a separate trial over a controversial 2015 merger that helped him tighten control over the company. Eleven executives from Samsung, including Lee, were indicted in 2020 on charges including illegal transactions, stock manipulation, and perjury.

That case is still pending.

Newsletter

Related Articles

TechDigits
Close
0:00
0:00
Almost 30% of professionals say they've tried ChatGPT at work
Interpol seeks woman who ran elaborate exam cheating scam in Singapore
What is ChatGPT?
Tesla reported record profits and record revenues for 2022
Microsoft is finalising plans to become the latest technology giant to reduce its workforce during a global economic slowdown
Tesla slashes prices globally by as much as 20 percent
After Failing To Pay Office Rent, Twitter May Sell User Names
FTX fraud investigators are digging deeper into Sam Bankman-Fried's inner circle – and reportedly have ex-engineer Nishad Singh in their sights
TikTok CEO Plans to Meet European Union Regulators
U.S. Moves to Seize Robinhood Shares, Silvergate Accounts Tied to FTX
Coinbase to Pay $100 Million in Settlement With New York Regulator
FTX assets worth $3.5bn held by Bahamas securities regulator
Former FTX CEO Bankman-Fried finally arrested in Bahamas after U.S. files charges
Corruption works: House Financial Services Chair Waters doesn't plan to subpoena her donor, Sam Bankman-Fried, to testify at hearing on FTX collapse
Yellen hints at ‘national security’ probe into Twitter purchase
Elon Musk reinstates Donald Trump's Twitter account.
George W. Bush and Barack Obama will hold back-to-back disinformation conferences
Solar + Powerwall ensures you never lose power, even if the grid goes down
This man paid for strangers' grocery and it moved them to tears
Meta introduces a new version of Mark Zuckerberg
Virtual Reality on billboards: BMW advertisement on Times Square
Apple CEO Tim Cook says coding should be taught as early as elementary school: 'It's the most important language you can learn'
Apple Executive Resigns After Viral TikTok Shows Him Making Crude Jokes
Huawei is not only better technology, but also protecting users better: Apple Warns Of Security Flaw For Iphones, Ipads And Macs
Mark Zuckerberg warns many teams will ‘shrink’ as Meta revenue drops
Elon Musk reportedly begged for forgiveness after his affair with Google co-founder Sergey Brin's wife
J.P. Morgan’s wealth management guru has some advice for recent college graduates on managing money and building wealth
Pentagon widens scope of UFO-hunting unit
Bezos' girlfriend Lauren Sanchez gives $1M to group focused on migrant kids at US-Mexico border
Hong Kong gets its first metaverse churches with avatars and virtual preachers
The ‘Dirty Quid Pro Quo’ Between Democrats and Big Tech
Elon Musk swore in March not to sell any Bitcoin, but Tesla cashed out 75% of its Bitcoin holdings amid the crypto winter just months later
Crypto winter continues at Gemini as another round of layoffs hits Winklevoss crypto exchange
Ex-CIA engineer Joshua Schulte convicted over massive data leak
EU to build new top-secret bunker
Elon Musk fathered twins with one of his executives last year
Apple launches Lockdown Mode to block spyware attacks on at-risk users
Australia floods worsen as thousands more Sydney residents evacuate
Women's own body dissatisfaction appears to influence their judgment of other women's body sizes
Hacker claims to have obtained data on 1 billion Chinese citizens
British Army's Twitter and YouTube accounts restored after hack
Google will delete location history for visits to abortion clinics after overturning of Roe v. Wade
Elon Musk, Jeff Bezos, Other Top Billionaires Lose $1.4 Trillion In Worst Half Ever
Philippines orders critical news site to shut down
Social media companies could be sued for addicting children to their digital-drug in California 
Airport chaos: European travel runs into pandemic cutbacks
The teen who tracks Elon Musk's jet agreed to stop monitoring Mark Cuban's flights on Twitter after the billionaire offered business advice
YouTube Shorts Claims 1.5 Billion Global Users As TikTok Rivalry Heats Up
The “Chinese (much better) Tesla”, Nio Stock, Jumps Again As Nio Eyes 'Product Supercycle'
The Crypto Bear Market Could Last Two Years, Top Investors Say
×