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C& Group Chairman Charged With Embezzlement

Posted October. 23, 2010 13:27,   


Prosecutors issued an arrest warrant Friday for C& Group Chairman Lim Byung-seok on charges of embezzling 100 billion won (85 million U.S. dollars).

The move came after they launched an investigation into the allegation that he created a slush fund through illegal deals and bribed politicians and bureaucrats.

Lim was charged with embezzling money from group affiliates C& Woobang, C& Heavy Industries and C& Merchant Marine, and taking 100 billion won (85 million dollars) in illegal loans from financial institutions through false financial statements.

He was interrogated the second day on how he allegedly raised the slush funds and their size. Given Lim’s overseas transfer of money taken from the three affiliates, prosecutors investigated whether he was involved in the process of the delisting of these companies in the wake of their deteriorating earnings.

Lim is known to have denied most of the charges against him.