Prosecutors to summon Lotte chairman’s close aides this week

[THE INVESTOR] South Korean prosecutors will summon close aides of  Lotte Group Chairman  Shin Dong-bin this week in the ongoing investigation over irregularities the conglomerate is accused of committing. 

Seoul Central District Prosecutor’s Office on Aug. 22 said it will question Lotte Group Vice Chairman Lee In-won, head of external relations, President Hwang Gak-gyu, head of policy coordination, and President So Jin-se, head of external relations, as suspects over the retail giant’s charges that include embezzlement and slush fund creation, among others.
 

“The exact date is yet to be confirmed,” an official with the prosecutors said. “We are not sure who will be summoned first.”

Earlier on Aug. 15, So was indicted as a key witness to the case. But the prosecutors decided to bring So again as a suspect. 

Both Lee and Hwang have took key position in the policy coordination of the group, which is regarded as the control tower of the Lotte Group. The investigative authorities believe the two, who worked side-by-side with Shin in the group’s major operations -- such as investment decisions and mergers and acquisitions -- are well aware of Lotte Group’s irregularities. 

So, who held a variety of key positions since he joined Lotte Shopping in 1977, is also regarded as Shin’s key man who took in charge of company’s external operations. 

So far, Shin Young-ja, the daughter of the Lotte founder and sister of Shin Dong-bin, has been arrested on corporate malpractice and embezzlement charges, becoming the first family member to be arrested in the widening Lotte probe. 

The country’s fifth-largest conglomerate has been under intensive investigation since June this year for corporate malfeasance.

By Ahn Sung-mi (sahn@heraldcorp.com)