Feeds

Samsung chairman faces tax dodging charges

Escapes jail to protect economy

Intelligent flash storage arrays

The chairman of Samsung will be prosecuted for allegedly hiding millions of dollars to avoid paying taxes, South Korean authorities have announced.

Lee Kun-hee and nine other senior executives were formally accused yesterday of concealing the cash in employee stock accounts, according to The New York Times.

Special prosecutor Cho Joon-woong told a news conference: "Samsung has led the advancing and globalising of South Korean businesses, but it's also true that it has structural problems."

Some of Lee's charges also stem from an alleged scheme to hand control of the Samsung empire to his son using illegal stock trades via subsidiaries.

A statement from the firm said: "Samsung would like to apologise for causing concerns. Taking this special prosecution investigation as a new starting point, Samsung is preparing reform plans, based on advice from various sectors of our society."

The whistle was blown by Samsung's former chief counsel Kim Yong-chul. He claims that the firm ran a vast bribery network, delivering gifts to prosecutors, officials, and politicians. Cho said there was not enough evidence to pursue bribery charges, however.

The executives were not arrested because authorities fear destabilising Samsung's management. According to AFP, prosecutors decided not to jail the group "in consideration of a negative impact on our economy". ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.