Park Chan-gu, Chairman of Kumho Petrochemical, Wins Appeal in 'Employment Disapproval Cancellation Lawsuit' Second Trial

[Asia Economy Reporter Kim Daehyun] Park Chang-gu, chairman of Kumho Petrochemical, overturned the first trial's loss and won the appeal in an administrative lawsuit he filed against the Ministry of Justice's employment restriction order.

On the 19th, the Administrative Division 3 of the Seoul High Court (Presiding Judges Ham Sang-hoon, Kwon Soon-yeol, and Pyo Hyun-duk) ruled in favor of the plaintiff in the lawsuit filed by Chairman Park against the Minister of Justice to cancel the refusal of employment approval.

The appellate court judged that if a suspended sentence for imprisonment is confirmed under the Act on the Aggravated Punishment of Specific Economic Crimes, the employment restriction begins from the time the probation period ends. It stated that the probation period cannot be included in the employment restriction period.

It added, "When interpreting provisions that are very unfavorable to the public, that is, the parties involved, it is fundamentally necessary to interpret them strictly," and "If the law is flawed or unclear, it is the National Assembly that must correct it, and the court cannot exceed the physical scope of interpretation."

Previously, Chairman Park was sentenced to three years in prison with a five-year probation for breach of trust under the Act on the Aggravated Punishment of Specific Economic Crimes in 2018. He was reappointed as CEO in March of the following year during the probation period, but the Ministry of Justice imposed an employment restriction in May of the same year. Chairman Park filed an administrative lawsuit against this order.

Article 14 of the Act on the Aggravated Punishment of Specific Economic Crimes stipulates employment restrictions for crimes such as embezzlement or breach of trust involving 500 million won or more. The period is defined as "five years from the date the execution of the imprisonment sentence ends or is confirmed not to be executed," or "two years from the date the probation period of the imprisonment sentence ends."

The first trial ruled against Chairman Park. It judged that the employment restriction for a person who violated the Act on the Aggravated Punishment of Specific Economic Crimes begins not from the time the execution of the sentence ends but from the time the guilty verdict is confirmed earlier.

The first trial court stated, "It is reasonable to interpret the period during which employment is prohibited under the Act on the Aggravated Punishment of Specific Economic Crimes as 'from the time the guilty verdict is confirmed,'" and "The employment restriction should start from the time the person is convicted to fulfill the purpose and effectiveness of the restriction."

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