Prosecution seeks arrest warrant for two executives of Samsung Electronics
Prosecution seeks arrest warrant for two executives of Samsung Electronics
  • Jung Se-jin
  • 승인 2019.05.10 13:15
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Prosecutors investigating Samsung BioLogics (Samsung Bio)' alleged accounting fraud worth 4.5 trillion won requested an arrest warrant on May 8 for two executives of Samsung Electronics Co.'s security advancement TF (Task Force) for their involvement in concealing accounting data.

It is the first time that an arrest warrant has been sought for an executive of Samsung Electronics since the investigation into the case began. 

They are scheduled to undergo a questioning of suspects before their arrest on charges of destroying evidence on May 10.
Before launching an investigation into allegations for accounting fraud of Samsung Bio, the prosecution reportedly secured evidence that Samsung Bio and Samsung Bioepis deleted search data related to such words as the 'JY,' which means vice chairman of Samsung Electronics Lee Jae-yong, and 'VIP' which means former President Park Geun-hye, from cell phones and computers of employees.

Prosecutors believe two Samsung Electronics executives were involved in the process. Samsung Electronics' security advancement TF is a place in charge of Samsung Group's security. The business support TF is an organization called the body similar to Samsung's former future strategy office.

Samsung Electronics Vice Chairman Lee Jae-yong told a parliamentary hearing on Choi Soon-sil's manipulation of state affairs in late 2016 that he will disband the future strategy office in consideration of public awareness and that he will not create an organization that will only change its name. He then abruptly disbanded the future strategy office. 

The head of the business support TF is CEO Jung Hyun-ho. He left the company after the disbandment of the future strategy office and was the only person who returned at the personnel management in 2017. Lee and Chung are alumni of the Harvard Business School.

Prosecutors are reportedly investigating whether Samsung Group intervened in the alleged destruction of accounting fraud evidence.

Prosecutors also arrested an employee in charge of security at Samsung Bio on charges of destroying evidence on May 5. He reportedly told prosecutors that he hid the company's public servers and laptops by tearing the floor of the Songdo factory in Incheon. 

Based on his statement, prosecutors seized and searched the Songdo factory on May 7 to secure dozens of laptops, servers and storage devices under the factory floor.


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