SEOUL– A high-ranking executive from Samsung Electronics Co. on Friday said the company is facing various hurdles in rolling out business strategies amid the absence of the firm’s de facto head Lee Jae-yong.
“It is true there are various troubles related to rolling out investment for the future, or seeking restructuring of businesses (amid Lee’s absence),” said Yoon Boo-keun, who heads Samsung’s home appliances arm, during meeting with reporters in Berlin at the Internationale Funkausstellung (IFA) event.
Last week, the Seoul Central District Court found Lee guilty of bribery, embezzlement and other charges in a massive corruption scandal that led to the ouster of former President Park Geun-hye, slapping him with a five-year jail term. Lee’s legal representatives said they will immediately appeal the case. Prosecutors earlier sought 12 years for the Samsung heir.
“It is complicated for heads of respective businesses to reorganize portfolios or seek merger and acquisitions, despite the fact that the IT industry is facing major changes,” Yoon said.
“Although the chip business is performing well, we are concerned that the absence of the vice chairman may lead to negative consequences,” the executive claimed.
“I am concerned and frightened, as Samsung’s restructuring and M&A projects, which are required for the company’s vision for the following three to five years, have been suspended,” Yoon added, saying he feels “wretched” over the situation.
The corporate chief said he visited Lee before the court ruling, but refrained from providing details of the meeting, only to say that they discussed business matters.
Source: Yonhap News Agency