Prosecution Requests Supplementary Investigation into Former Chairman Heo Jae-ho's Embezzlement Case

The police are re-examining the embezzlement accusation case against Heo Jae-ho (80), the former chairman of the Daejoo Group.

The Anti-Corruption and Economic Crime Investigation Unit of the Gwangju Police Agency announced on the 18th that it is reviewing whether to investigate the embezzlement and breach of trust charges against former Chairman Heo.

This follows the prosecution's request for supplementary investigation, stating that the statute of limitations should be considered suspended during the period Heo resided in New Zealand to avoid criminal punishment.

Heo was reported to the police along with multiple suspects, including his common-law wife, son-in-law, and relatives, on charges of embezzlement and breach of trust.

The case involves allegations that the suspects, individually or jointly, diverted Daejoo Group's assets or construction payments through various methods.

Former Chairman Heo was also indicted on charges of evading capital gains tax of 501.36 million KRW by selling approximately 369,000 stocks held under the names of three acquaintances from May to November 2007 and concealing the gains.

He is also accused of evading about 6.5 million KRW in comprehensive income tax on dividend income of 58 million KRW from stocks held under borrowed names.

In relation to this, Heo filed an administrative lawsuit against the Gwangju Tax Office chief to cancel the capital gains tax imposition, but both the first and second trials of the administrative appeal court ruled against him.

In January 2010, he left for New Zealand without paying taxes and fines amounting to around 40 billion KRW. After it was revealed in February 2014 that he gambled at a casino, he returned to Korea in mid-March 2014 and, claiming he had no money to pay the fines, received a reduction of 500 million KRW per day, a so-called "emperor's imprisonment," which sparked public outrage.

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