- Share this article on Facebook
- Share this article on Twitter
- Share this article on Email
- Show additional share options
- Share this article on Print
- Share this article on Comment
- Share this article on Whatsapp
- Share this article on Linkedin
- Share this article on Reddit
- Share this article on Pinit
- Share this article on Tumblr
SEOUL — Lee Jay-hyun, chairman of CJ Group, the South Korean conglomerate known for its food and entertainment businesses, was detained Monday night on charges of tax evasion, breach of trust and embezzlement.
Kim Woo-soo, senior judge of the Seoul Central District Court, issued the warrant for the arrest of the country’s 10th richest man. “Given the seriousness of the charges against him, his detention is necessary,” Kim said in a statement.
The 53-year-old tycoon was questioned by prosecutors last week on suspicion of dodging some 70 billion won ($61.4 million) in income tax by hiding money in accounts made under “borrowed names.”
He was also suspected of embezzling large amounts of corporate funds from the group’s affiliates, including its flagship food company CJ CheilJedang, by inflating the prices of raw materials.
“The prosecution has evidence on Lee’s allegations. And we cannot rule out the possibility that he will destroy evidence and flee,” said Kim.
CJ Group is the parent company of CJ E&M, one of Korea’s largest entertainment companies, which handles films, TV and pop music.
Sign up for THR news straight to your inbox every day