Hyundai Motor Company boss Chung Mong-koo has been sentenced to three years in prison after he was convicted of embezzlement and other charges.

The 68-year old Korean was charged of using over $110m for illegal payments to lobbyists and for personal uses. The judge who conducted the trial said that strict punishment was necessary to stop the illegal practices in the country.

Stating that Chung's actions were "clearly criminal", the presiding judge, Kim Dong-oh said, "The court decided a strict execution of law is necessary to eradicate illegal and anti-market practices in the past and help South Korea build a more advanced economy."

Chung was facing a six year prison sentence with the prosecutors playing big about his role in the embezzlement saying that his acts were of "grave nature". However the judge gave a lesser sentence due to Chung's "big contributions to the development of the country's economy" and charity commitments.

Meanwhile a spokesman for Hyundai has said that the company will be appealing against the decision adding that it was "greatly disappointed by the court ruling". Share prices of the motor company tumbled after the ruling with Hyundai Motor shares down by 1.29 percent or 900 won while Kia Motors shares dropped by 150 won or 1.24 percent to 11,950.

Be first to comment this article

Write Comment

Please keep the topic of messages relevant to the subject of the article. Personal verbal attacks will be deleted. Please don't use comments to plug your web site. Such material will be removed. Just ensure to *Refresh* your browser for a new security code to be displayed prior to clicking on the 'Send' button. Keep in mind that the above process only applies if you simply entered the wrong security code.
Name:
E-mail
BBCode:
Comment:
Code:*
	I wish to be contacted by email regarding additional comments

Powered by AkoComment Tweaked Special Edition v.1.4.4