South Korean prosecutors are seeking to end the months-long investigation into Lotte Group by summoning the group chairman after the Korean Thanksgiving holiday.
The group’s owner family has been accused of a range of illegal activities including tax evasion, embezzlement and slush fund creation.
“We will summon the chairman Shin for questioning right after the Chuseok holiday,” the Seoul Central District Prosecutors’ Office said, adding, “the date may be confirmed during the holiday period.”
Prosecutors have already questioned the ailing group founder Shin Kyuk-ho and his first son Dong-joo.
During the questioning, the 93-year-old founder denied most of his charges. He allegedly evaded taxes amounting to around 600 billion won ($539 million) in the process of handing over a 6.2 percent share of Lotte Holdings in Japan to his eldest daughter Shin Young-ja and common-law wife Seo Mi-kyung.
He is also in charge of giving a lump sum of business to stores in Lotte Cinema run by Seo, costing affiliates involved around 78 billion won.
Prosecutors have taken action to force Seo -- who is in Japan and did not respond to the summons -- to return to Korea.
The founder’s eldest son Dong-joo was also questioned for allegedly pocketing around 40 billion won by putting his name on board member lists at Lotte’s key affiliates, including Lotte Construction, Lotte International and Lotte Hotel over the past 10 years.
He reportedly admitted most of the charges but said he was unaware of them.
By Shin Ji-hye(
shinjh@heraldcorp.com)
