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Former Samsung Exec. Appears for Questioning on 2015 Merger

Written: 2020-01-20 10:39:51Updated: 2020-01-20 14:23:01

Former Samsung Exec. Appears for Questioning on 2015 Merger

Photo : YONHAP News

Former Samsung executive Jang Chung-gi has been summoned for questioning in a probe into allegations surrounding Samsung affiliates. 

Jang appeared for the questioning at 9:15 a.m. Monday at the Seoul Central District Prosecutors' Office, which is investigating an accounting scandal at Samsung BioLogics and its affiliate Samsung Bioepis.  

The prosecution plans to grill the former Samsung executive regarding the accounting scandal and a merger between Samsung C&T and Cheil Industries in July 2015.

The prosecution believes the alleged accounting fraud had an inappropriate effect on the rise of the value of Cheil Industries and the subsequent merger with Samsung C&T. 

Investigators suspect that fraud may have been committed to facilitate the merger between the two affiliates, which ultimately helped Samsung heir Lee Jae-yong overhaul the group's governance structure.

The prosecution is likely to summon Lee and former Samsung executive Choi Ji-sung after investigating Jang.

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