South Korean Appeals Court Upholds Samsung Chief Lee Jae-yong’s Acquittal
A South Korean appeals court has upheld the acquittal of Samsung Electronics Chairman Lee Jae-yong on financial criminal charges related to a controversial 2015 merger that strengthened his control over the country’s largest conglomerate.
On Monday, the Seoul High Court rejected prosecutors’ appeal against a lower court ruling that had cleared Lee of wrongdoing. The decision is seen as a significant legal victory for the Samsung heir, though prosecutors may still appeal to the Supreme Court, whose rulings are final.
Background on the Case
In February 2024, the Seoul Central District Court ruled that prosecutors failed to sufficiently prove that the merger between Samsung C&T and Cheil Industries was unlawfully orchestrated to bolster Lee’s control over Samsung Electronics.
The 2015 merger was a pivotal moment in Samsung’s leadership transition, but it faced strong opposition from some shareholders, who argued it unfairly benefited the Lee family while harming minority investors.
Lee Jae-yong’s Legal History
Lee, a third-generation corporate leader, has been at the helm of Samsung since 2014, after his father, Lee Kun-hee, suffered a heart attack.
His legal troubles date back to 2017, when he was convicted of bribery related to the 2015 merger. Initially sentenced to five years in prison for offering bribes to then-President Park Geun-hye and her confidante in exchange for government support, Lee’s sentence was later reduced. He served 18 months in prison before being released on parole in 2021.
In August 2022, South Korean President Yoon Suk Yeol granted him a presidential pardon, allowing him to officially take over as Samsung Electronics Chairman in October 2022.
Legal Reactions & Future Implications
Following the Monday verdict, Lee’s lawyer, You Jin Kim, expressed relief, stating he hopes Lee can now focus on leading Samsung without further legal distractions.
While this ruling strengthens Lee’s position, the possibility of a Supreme Court appeal means the legal battle may not be over yet.