April 19, 2024
Industrials
Prosecutors intensify KAI probe
[THE INVESTOR] Prosecutors are intensifying their probe into alleged corruption at Korea Aerospace Industries, as they raided its headquarters once again on July 26.
The Seoul Central District Prosecutors’ Office sent investigators to the headquarters in Sacheon, 437 km south of Seoul, and its offices in the capital earlier in the day, it said.
They mainly searched KAI’s development division this time, based on the evidence obtained so far that revealed its possible involvement in the malpractice.
This is a second time that prosecutors have raided both KAI’s main and Seoul offices, after it carried one out two weeks ago. The prosecutors already conducted two separate raids on KAI headquarters and its subcontractors on July 14 and 18.
The defense company is accused of inflating expenses for the development of a utility helicopter known as the Surion and pocketing unfair profits worth some 24 billion won (US$21.40 million).
The prosecution also suspects that key KAI officials offered business favors to subcontractors that took part in the price manipulation, while also taking bribes from them.
By Alex Lee and newswires (alexlee@heraldcorp.com)
The Seoul Central District Prosecutors’ Office sent investigators to the headquarters in Sacheon, 437 km south of Seoul, and its offices in the capital earlier in the day, it said.
They mainly searched KAI’s development division this time, based on the evidence obtained so far that revealed its possible involvement in the malpractice.
This is a second time that prosecutors have raided both KAI’s main and Seoul offices, after it carried one out two weeks ago. The prosecutors already conducted two separate raids on KAI headquarters and its subcontractors on July 14 and 18.
The defense company is accused of inflating expenses for the development of a utility helicopter known as the Surion and pocketing unfair profits worth some 24 billion won (US$21.40 million).
The prosecution also suspects that key KAI officials offered business favors to subcontractors that took part in the price manipulation, while also taking bribes from them.
By Alex Lee and newswires (alexlee@heraldcorp.com)
