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Photo = Yonhap news |
[Alpha Biz= Kim Jisun] Former POSCO Group Chairman Choi Jeong-woo and other executives have been cleared of allegations related to alleged misuse of corporate funds for luxury overseas board meetings, following a police investigation.
On Tuesday, the Seoul Metropolitan Police Agency’s Financial Crime Investigation Unit announced it had decided not to pursue charges against Choi and 15 others, including both internal and external board members, citing a lack of evidence. The charges included breach of duty and embezzlement.
The case stems from a complaint filed 16 months ago by a local civic group in Pohang, the “Citizen Committee for Relocating POSCO Headquarters and R&D Center to Pohang,” which accused the executives of misappropriating company funds during a 5-night, 7-day board meeting held in Canada in August 2023.
The group alleged that approximately KRW 680 million (around USD 500,000) in expenses were unlawfully shared between POSCO and its Canadian subsidiary POSCAN, in violation of internal regulations.
The investigation also included additional allegations raised by the civic group regarding a similar board trip to China in August 2019. However, police concluded that there was insufficient evidence to support any criminal wrongdoing in both instances.
Choi, who took office as chairman of POSCO Holdings in 2018 for a three-year term, stepped down in 2023 after failing to secure a third term.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
