Date: 04-23-2008
Samsung Group Chairman Lee Kun Hee has resigned from office after being indicted recently on charges of tax evasion and breach of duty. The Samsung chief, who is also South Korea’s most powerful businessman, was at the helm of the conglomerate for about 20 years. The televised announcement of the resignation, which came as a shock to many, included an expressionless Lee saying, “[I] deeply apologize for causing concern to the nation and will take full responsibility for that.” Lee’s son, Lee Jae Yong, will follow suit, stepping down from his executive post to work in an unspecified role abroad for the company. According to media reports, Vice Chairman Lee Hak Soo and President Kim In Joo are also expected to resign by the end of June, and the company will also dismantle its strategic planning group, which has drawn the ire of critics who say it wields too much influence. Lee was charged last week with evading $113 million in taxes and for a breach of duty involving Samsung’s losses, with Kim Yong Chul, Samsung’s former lawyer, alleging that company funds were diverted for bribery.
