Jay Y. Lee Biography Jay Y. Lee Wiki
Samsung Electronics Co. heir Jay Y Lee was sentenced to two years and six months in prison for corruption. It was the dramatic end of a year-long transplant process that sparked outrage across the country over the friendly relationship between the government and business.
Monday’s decision puts the world’s largest decision maker behind bars at the electronics company at a time of increasing competition and global uncertainty. The Seoul Supreme Court first arrested Jay Y Lee in 2017 after convicting the billionaire for his role in a corruption scandal that toppled former President Park Geun-hye. The de facto head of the Samsung group spent a year in prison, but was released in February 2018 after his original five-year sentence was cut in half and suspended. The Supreme Court overturned the decision and ordered a new trial in 2019.
Samsung heir Jay Y. Lee was sentenced to two years and six months in prison over bribery charges https://t.co/Qb30X7GRld
— Bloomberg Markets (@markets) January 18, 2021
Jay Y Lee Involvement
Jay Y Lee, 52, was involved in a fight that started four years ago and resulted from a controversial merger in 2015. The Samsung executive was accused of offering horses and other payments to a friend of the former president to gain support for the business. the formal succession of him. in society. Last week, the Supreme Court upheld Park’s 20-year prison sentence, citing high-profile allegations, including corruption related to Samsung.
“This is shocking news for Samsung, but Samsung should settle this lawsuit and move on,” said Chae Yi-bai, a former South Korean lawmaker who worked for a non-profit shareholders’ organization. “Given that Lee has already spent a year in prison, there will be a year and a half of leadership vacuum.”
Shares of Samsung Electronics fell more than 4% after the ruling was read.
Lee’s attorney called the decision “unfortunate.” Samsung Electronics declined to comment on the result.
The vacuum over the world’s largest maker of memory chips, smartphones, and consumer devices is emerging as the Covid-19 pandemic exacerbates growing uncertainty about US-China relations and intensifies competition. While Samsung’s day-to-day operations are run by an army of managers, Lee’s absence can block or complicate massive investments or long-term strategic moves. The executive played an active role in the business and frequently attended public and state events after his release from prison.
Shin Se-don, emeritus professor of economics at Sookmyung Women’s University, called the phrase “too excessive” and warned that, given the importance of the Samsung group to the country, there may be a backlash against the government.
“Lee can run the business from prison, but there will be some setbacks,” Shin said. “Lee’s incarceration will cause people an emotional shock. Samsung is a mainstay of our economy and people will be amazed at the results. ”
At the final hearing on December 30, Lee read a lengthy personal apology about the case and reiterated the promises he first made in May. He highlighted his efforts to make Samsung a great company, promising not to repeat the mistakes of the past and promising not to pass power on to his children. Lee’s rise to the presidency of Samsung after the death of his father in October will likely be delayed until he is free.
On the other hand, another case is pending related to the controversial merger of Samsung C&T and Cheil Industries in 2015, which includes allegations ranging from violations of the capital markets law to breaches of obligations. In this case, Lee must attend the hearings while serving his prison sentence.