Citing the Law on Economic Crimes
The Solidarity for Economic Reform said on Feb. 9 that Samsung Electronics vice chairman Lee Jae-yong, who has been sentenced to 30 months in prison, must no longer be a Samsung Electronics executive.
“According to the Act on the Aggravated Punishment, etc. of Specific Economic Crimes, any person punished for substantial embezzlement or breach of trust must not be hired by a closely related company for a certain period of time,” the civic group said, adding, “In the case of Samsung Electronics, the employment restriction is valid for his prison term and additional five years.”
Regarding some claims that he can maintain his position without pay from the company, the group said that it is a wrong interpretation distorting the purpose of the law. “The restriction is not simply related to payment, and it is to prevent an economic criminal from affecting a relevant company’s business and decision-making processes,” it explained.
“Time-consuming criminal trials related to the controversial merger between Cheil Industries and Samsung C&T also await him and this fact is a huge risk on Samsung Electronics’ part,” it went on to say, continuing, “The board of Samsung Electronics must discuss his dismissal.”