In the latest round of attacks on Korean big business, Samsung Group Chairman Lee Kun-hee and fourteen former and incumbent board members of the group's apparel unit have been sued by minority shareholders over their
alleged mismanagement.
Essentially, the charges stem from a deal that helped hand over the group's control from Lee to his only son.
Three shareholders of Cheil Industries Inc., Samsung's apparel unit, filed the suit on Sunday, accusing Lee and the board members of causing losses to the company by intentionally losing its right to buy the corporate bonds of Samsung Everland Inc., the group's amusement park affiliate.
I've always found it interesting that the popular amusement park serves as the defacto holding company. Transfer of wealth remains an issue among many in Korea, whether its Samsung, Hyundai-Kia, or the other large conglomerates.
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