April 24, 2024

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[THE INVESTOR] Samsung Electronics Vice Chairman  Lee Jae-yong on Dec. 6 hinted that he would shut down the Future Strategy Office, the de facto control tower of the group, amid criticism that the secretive team wields excessive power over strategic decisions of affiliates.

He was responding to a barrage of questions at a parliamentary hearing over Samsung’s alleged involvement in the snowballing influence-peddling scandal surrounding President Park Geun-he and her long-time confidante Choi Soon-sil. 

The strategy office, established by Samsung founder Lee Byung-chull in 1959, is alleged to have made the decision to provide more than 20 billion won (US$17 million) to dubious foundations run by Choi.

Investigations are underway whether the donations were made in return for any business favors, even though the Samsung heir has denied the allegations.

“I’ll close strategy office if the public and lawmakers have negative views about the team,” he added. 

Lee, who has served as the de facto leader of the nation’s largest conglomerate since his father’s hospitalization in May 2014, said he will take responsibility for any wrongdoing by Samsung in the presidential scandal.

He also stressed that he would not focus just on maintaining his ownership rights amid skepticism about his business skills, saying: “I’m willing to hand over the management rights to a competent CEO who I think is right.”

Lee was one of the nine tycoons who were summoned by the National Assembly to testify about their funding to the foundations controlled by Choi. Samsung is also accused of offering financial assistance to Chung Yoo-ra, Choi’s daughter and former national equestrian player.

By Kim Young-won (wone0102@heraldcorp.com)