Chairman Cho Yang-rae of 'Hanta Family' Attends Limited Guardianship Hearing... Future Psychiatric Evaluation to Proceed (Comprehensive)

Moving to the courthouse independently without aides or walking aids
Legal community: "Cannot judge Chairman Cho's health condition solely based on psychiatric evaluation"

[Image source=Yonhap News]

[Asia Economy reporters Ki-min Lee and Dae-hyun Kim] Following the limited guardianship hearing for Cho Yang-rae, chairman of Hankook & Company and father of the brothers involved in the management rights battle at Hankook Tire, he is scheduled to undergo a mental evaluation soon.

The Seoul Family Court held a hearing on the commencement of limited guardianship for Chairman Cho on the afternoon of the 21st. Limited guardianship is part of the adult guardianship system, where a person with mental limitations and insufficient capacity to handle affairs can have a guardian appointed by the court upon request by themselves, their spouse, or relatives within the fourth degree.

On the day, Chairman Cho moved to and from the court on his own without assistance from attendants or aids such as a wheelchair. The closed-door hearing lasted about 40 minutes, during which the court questioned whether Chairman Cho has the ability to perform company duties and management, and whether he is physically and mentally capable of making judgments, with Chairman Cho responding.

Chairman Cho is expected to undergo a mental evaluation soon at one of the Seoul National University Hospital, National Mental Health Center, or Asan Medical Center, all affiliated with the Seoul Family Court. According to family litigation law, the court must conduct a physical examination for the person subject to limited guardianship. The examination can be waived only if sufficient evidence is submitted to exempt the need for such evaluation.

However, legal circles express that simply undergoing a mental evaluation does not allow for a definitive judgment on Chairman Cho’s health condition. Legally, the evaluation can be waived if sufficient evidence is provided, but since this issue arose after the sale of company shares and succession of management rights, the court may find it difficult to make a decision without a mental evaluation. A lawyer in Seocho-dong commented, "Given the large scale of assets and the public attention on this case, it would be difficult for the court to decide based solely on submitted documents."

Cho Hee-kyung, eldest daughter and director of the Hankook Tire Nanum Foundation, who filed the limited guardianship petition, said, "I heard the court decided to adopt the mental evaluation," adding, "I hope the important hospital evaluation to assess the chairman’s health will proceed objectively and systematically."

Previously, in July last year, Chairman Cho transferred 23.59% of his shares to his second son, President Cho Hyun-beom, through an off-hour block trade, increasing Cho’s stake in Hankook & Company to 42.90%. Subsequently, Director Cho stated, "An objective judgment is needed to determine whether this decision was made voluntarily and with a sound mind," and filed the limited guardianship petition. Eldest son Vice Chairman Cho Hyun-sik and youngest daughter Cho Hee-won also participated in the limited guardianship proceedings.

After the petition, Chairman Cho reportedly has been commuting daily to the Hankook & Company headquarters in Pangyo, Gyeonggi Province, occasionally strolling around the headquarters. Recently, he has been engaging in physical activities such as playing golf with industry associates.

Although the chairman appeared in person at the Seoul Family Court on the day, Director Cho, Vice Chairman Cho, and youngest daughter Cho Hee-won, who filed the limited guardianship petition, did not appear in court. President Cho, who opposes the limited guardianship, submitted a letter of non-appearance to the court on the 16th.

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