The net is closing in on top executives at Hyundai as prosecutors investigate claims that they were involved in raising slush funds used to lobby politicians.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
This week Chae Yang-ki, the company’s chief planning and financial official, was summoned for questioning, according to the Korea Herald. He is considered to be Hyundai chairman Chung Mong-koo’s right-hand man, and his involvement suggests that chairman Chung and his son, Chung Eui-sun, who is president of Hyundai’s affiliate Kia Motors and largest shareholder of delivery service unit Glovis might also be involved.
Kim Jae-rok was arrested last week on charges of arranging illegal bank loans and bribing government officials.
The prosecution is expected to probe government officials as well as five to six other corporations.
The Korea Herald suggests that frequent reshuffling of top executives has caused disgruntled staff to leak information to prosecutors. It says that Hyundai Automotive has replaced its presidents and vice-presidents almost every month over the past year.
