Investigation Review Committee Meeting on Lee Jae-yong's Fate Held This Morning... Conclusion Expected Between 6-7 PM Today

On the 8th, Lee Jae-yong, Vice Chairman of Samsung Electronics, who is under prosecution investigation for allegations of unfair succession of management rights related to the merger of the former Samsung C&T and Cheil Industries, as well as accounting fraud allegations involving Samsung Biologics, is entering the courtroom to attend the warrant hearing at the Seoul Central District Court in Seocho-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

[Asia Economy Reporter Choi Seok-jin] The Prosecutorial Investigation Deliberation Committee (PIDC) special committee, which will determine the fate of Samsung Electronics Vice Chairman Lee Jae-yong (52), will be held on the 26th.

The prosecution has already requested an arrest warrant for Vice Chairman Lee, judging that he either directly ordered or at least knowingly tolerated a series of illegal acts that occurred during the merger process of Samsung C&T and Cheil Industries.

Therefore, if the PIDC issues a 'prosecution opinion,' concluding that even experts from various sectors believe there was deliberate stock price manipulation and accounting fraud during the merger process, and that Vice Chairman Lee was informed and aware of it, the prosecution's investigation is expected to regain momentum and accelerate. There is also a possibility of reapplying for an arrest warrant against Vice Chairman Lee and others.

On the other hand, if the PIDC issues a 'non-prosecution opinion' or an opinion that 'continuing the investigation is inappropriate,' the prosecution will inevitably face a dilemma.

After a 19-month investigation, there will likely be internal disagreements on whether to overturn the conclusion based on the discussion and vote of the 15 members (effectively 14, considering the acting chairperson does not have voting rights) of the committee.

Since the Samsung-related investigation has been coordinated by Prosecutor General Yoon Seok-yeol and Prosecutor Han Dong-hoon since the Park Young-soo special prosecutor team, which investigated the 'state affairs manipulation,' it is uncertain whether the prosecution will actually give up prosecution even if the PIDC issues a non-prosecution opinion.

Of course, if the prosecution makes a decision contrary to the PIDC's conclusion, it will face criticism for rendering the system it introduced?intended to ensure objectivity and fairness in the investigation by referencing external experts' opinions?ineffective, which is a significant burden.

Additionally, with Justice Minister Choo Mi-ae opposing Prosecutor General Yoon and currently supporting Seoul Central District Prosecutor Lee Sung-yoon, who is leading the investigation team, there is a possibility that Prosecutor Lee may decide to follow the PIDC's non-prosecution opinion, potentially causing another conflict with Prosecutor General Yoon.

The special committee will begin at 10:30 a.m. at the Supreme Prosecutors' Office in Seocho-dong, Seoul.

The committee will discuss whether it is appropriate to indict Vice Chairman Lee and others on charges such as unfair trading and market manipulation under the Capital Markets Act, and violations of the Act on External Audit of Stock Companies.

They will also discuss the 'continuation of the investigation,' which Vice Chairman Lee and others have requested for deliberation. However, since the accused, including Vice Chairman Lee, requested the convening, the 'reapplication for an arrest warrant' is not subject to deliberation.

When the committee convenes, it will first discuss the recusal of the chairperson, former Supreme Court Justice Yang Chang-soo, and among the attending members, elect an acting chairperson by vote.

Afterward, they will receive and review 50-page opinion documents submitted by the lead prosecutor and the applicants, listen to statements from both sides, and ask questions if needed. Both sides are reported to have prepared presentations (PT) to convey their points concisely for the committee members' easy understanding.

In the subsequent closed deliberation, if the members' opinions are unanimous, a deliberation opinion document will be drafted reflecting the consensus.

If opinions differ, a decision will be made by a majority vote of the attending members. The acting chairperson cannot ask questions or participate in the vote.

Afterward, the deliberation opinion document will be prepared and a copy sent to the lead prosecutor. The lead prosecutor is not obligated to follow the opinion but must respect it.

The meeting is scheduled to continue until 5:50 p.m., but due to many issues requiring discussion, it is likely to end after 6 p.m.

Meanwhile, a fierce legal battle between current and former special investigation prosecutors is expected during the meeting.

The prosecution is expected to be represented by three to four prosecutors, including Lee Bok-hyun, head of the Economic Crime Division of the Seoul Central District Prosecutors' Office and lead prosecutor, Choi Jae-hoon, deputy chief prosecutor in charge of Vice Chairman Lee's face-to-face investigation, and Kim Young-chul, chief prosecutor of Uijeongbu District Prosecutors' Office.

Vice Chairman Lee's defense team is expected to include former special investigation prosecutors turned lawyers such as Kim Ki-dong, former chief of Busan District Prosecutors' Office, and Lee Dong-yeol, former chief of Seoul Western District Prosecutors' Office.

Kim Jong-jung, former head of Samsung's Future Strategy Office Strategy Team (64), who also requested the PIDC convening along with Vice Chairman Lee, and representatives from Samsung C&T will also have their lawyers present. The parties involved, including Vice Chairman Lee, will not attend.

This content was produced with the assistance of AI translation services.