Corporate watchdog to sue Hyundai Group chief for false reporting

South Korea's antitrust watchdog said Monday that it has decided to file a criminal lawsuit against the chief of Hyundai Group for the false reporting of the ownership of the group's affiliates.

Hyundai Group Chairwoman Hyun Jeong-eun had deliberately omitted six affiliates that her family members hold stakes in from relevant documents submitted to the watchdog between 2000 and 2016, according to the Fair Trade Commission.

Under South Korea's fair trade law, companies with assets exceeding 5 trillion won ($4.48 billion) are obligated to disclose stakes held by the company's head and his or her family members in affiliates at home and abroad.

Hyundai Group, with troubling Hyundai Merchant Marine Co. under its wing, is South Korea's 20th largest business group by assets.

"She has committed such illegal practices for such a long period with as much as six affiliates," the FCT said in a release.

"The FTC will exercise strict control over such false reporting practices."

The FTC took the legal punitive step last month on retail giant Lotte Group founder Shin Kyuk-ho in a similar case as part of its efforts to tighten legal enforcement. (Yonhap)