'Unfair Support, Embezzlement, and Breach of Trust by Affiliate' Former Kumho Chairman Park Sam-gu Sentenced in First Trial Today

Park Sam-gu, Former Chairman of Kumho Asiana Group / Photo by Jin-hyung Kang aymsdream@

[Asia Economy Reporter Kim Daehyun] The first trial verdict for former Kumho Asiana Group Chairman Park Sam-gu, who was indicted on charges including unfair support to affiliates, embezzlement, and breach of trust, is about to be announced.

On the 17th at 2 p.m., the Seoul Central District Court Criminal Division 24 (Chief Judge Jo Yongrae) will hold the sentencing hearing for former Chairman Park, who was charged with violations of the Fair Trade Act and the Act on the Aggravated Punishment of Specific Economic Crimes (embezzlement).

Earlier, former Chairman Park was indicted for embezzlement under the Act on the Aggravated Punishment of Specific Economic Crimes for withdrawing a total of 330 billion KRW from four Kumho Group affiliates, including Kumho Terminal, at the end of December 2015, and using the funds to purchase shares of Kumho Industrial (now Kumho Construction), the group's holding company.

He is also accused of breach of trust under the Act on the Aggravated Punishment of Specific Economic Crimes for selling 100% of Kumho Terminal shares held by Asiana Airlines to Kumho Enterprise at a low price of 270 billion KRW in April 2016, and of violating the Fair Trade Act by having nine Kumho Group affiliates, including Kumho Industrial, lend a total of 130.6 billion KRW at low interest rates without collateral to Kumho Enterprise, which was facing financial difficulties, from August 2016 to April 2017.

Former Chairman Park was detained and indicted in May last year, and was released on bail shortly before the expiration of his detention period in November of the same year, continuing to stand trial while out on bail.

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