Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

South Korea Indicts Chaebol Head in Tax Evasion Crackdown

CJ Group Chairman Lee Jay Hyun
Lee Jay Hyun, chairman of CJ Group, exits his car as he arrives at the Seoul Central District Court for an arrest warrant review in Seoul on July 1, 2013. Photographer: SeongJoon Cho/Bloomberg

Seoul prosecutors indicted the head of CJ Group, a South Korean food and entertainment group, for tax evasion and embezzlement as part of a government drive to crack down on corporate crime.

Lee Jay Hyun, the 53-year-old chairman of the group, was charged today after an investigation that started in May, according to the prosecutors. The group is the country’s 14th-largest chaebol, the conglomerates that dominate South Korea’s economy.

President Park Geun Hye pledged to crack down on tax evasion to help fund increased welfare spending and the country’s tax agency began 23 separate investigations in May. The government has targeted the heads of chaebol for tax evasion and embezzlement in previous years, including Samsung Group and Hyundai Group, the country’s two biggest.

Lee avoided 54.6 billion won ($49 million) in taxes and misappropriated 96.3 billion won in company assets, the Seoul Central District Prosecutors’ Office said in a statement today. Lee had used a CJ Group unit to provide collateral and guarantees for property purchases in Japan, according to the statement.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.