Author: Shannon Hannes
President Yoon Suk-yeol of South Korea has granted a presidential pardon to Samsung heir Lee Jae-Yong, also known as Jay Y. Lee.
On August 15th, the president will formally grant the pardon.
The presidential pardon is similar to the two that Lee Kun-hee, Lee’s father, received after being found guilty of corruption and tax evasion in 1996 and 2008, respectively.
Let’s discuss the alleged crimes and the details of the presidential pardon.
Why was Jay Y. Lee pardoned?
The South Korean president said that the pardon was an effort to get the country out of the economic crisis and revive the economy in a remark reported by the Financial Times. As we know, Samsung Electronics is a multi-billion dollar corporation that, without a doubt, helps the nation’s economy thrive.
The pardon, however, marks the most recent development in a controversy involving bribery that began in 2017, when Lee was charged with paying Park Geun-Hye, a former president of South Korea. After being found guilty of corruption, the company’s heir was initially given a five-year prison sentence; however, he only completed a little over a year before being freed on appeal.
He was later detained in January 2021 and released on parole in August of that same year. He completed serving the final year and a half of his 2.5-year sentence.
What does the presidential pardon mean for the heir?
Convicted offenders in Korea are prohibited from working formally for at least five years after their conviction. Therefore, a presidential pardon is crucial because it allows Lee to retake control of the giant digital corporation that his grandfather, Lee Byung-Chul, founded.
Despite not holding a formal title, Lee reportedly continued to receive updates from the corporation, according to a report from Bloomberg. Additionally, Lee Kun-death Hee’s in 2020 left Samsung without a chairman.
As a result, Jay Y. Lee now has the opportunity to intervene and make the crucial choices required as the business battles inflation, thanks to the presidential pardon.
What does Lee’s return mean for Samsung?
Lee’s official return to the business is viewed as a possible source of stability and political popularity.
According to sources, approximately 5 million South Koreans own shares in Samsung, which has resulted in widespread support for Lee’s release from prison.
Critics counter that the pardon is a symptom of a close, borderline corrupt relationship between Korea’s political and commercial elite.
In a statement, Lee apologized for worrying so many people and thanked them for allowing him to start over. “I’ll work harder to contribute to society and help us all advance,” he added.
The businessman also faces separate stock manipulation allegations in connection with the merger of two of the company’s subsidiaries, so his legal issues are far from ended.
Key takeaway
Jay Y. Lee, the heir of Samsung, was convicted of corruption and got a presidential pardon from the South Korean president.
The president will formally announce this pardon on August 15th. Lee’s presidential pardon follows the footsteps of his father, Lee Kun-Hee, who was pardoned for crimes in 1998 and 2008.
According to critics, Lee’s pardon is the latest twist in the story following charges that he bribed the former South Korean president.
The heir to the multibillion-dollar electronic corporation is facing a separate accusation of stock manipulation, and everyone is waiting to see what happens. What do you think?