Prosecutors investigating CJ Group’s suspected tax evasion and other irregularities arrested a senior executive on Sunday for allegedly managing the conglomerate’s slush funds.
Shin was head of CJ’s Hong Kong division and held a key position in the group’s financial department between 2004 and 2007. He is reported to have led CJ Group’s suspicious business expansion in Hong Kong.
CJ Group, the country’s 14th-largest conglomerate, faces a growing investigation as the prosecution looks into suspicions of tax evasion and inappropriate transfers of wealth in addition to alleged overseas slush funds.
Shin is the first senior official to be put in custody in the scandal. Reports said the prosecution would soon question CJ Group chairman Lee Jae-hyun.
(
596story@heraldcorp.com)
