[Photo by Namgung Jin-woong = timeid@ajunews.com]
Prosecutors indicted the founder of South Korea's fifth-largest conglomerate, Lotte Group, and his two sons Wednesday, wrapping up an extensive four-month probe.
Lotte's ailing founder Shin Kyuk-ho and his two sons were not detained physically but they will be put on trial on charges of alleged tax evasion, embezzlement, and other irregularities, along with the founder's daughter and third wife.
The founder's third wife, Seo Mi-kyung, and his daughter, Shin Young-ja, were indicted earlier on charges of tax evasion. Prosecutors have also brought charges against 14 incumbent and former Lotte executives.
Shin Young-ja was arrested on July 7 on charges of taking kickbacks from a cosmetics firm in return for favorable placement in Lotte's duty-free shops. Lee In-won, a Lotte Group vice chairman, has killed himself before he turned up for questioning by prosecutors.
The founder was accused of evading gift taxes by handing over shares in Japan-based Lotte Holdings under a borrowed name to a firm owned by Seo and Shin Young-ja.
Group chairman Shin Dong-bin, 61, was accused of embezzling 50 billion won (4.4 billion US dollars) and causing 175 billion won losses to the group.
Aju News Lim Chang-won = cwlim34@ajunews.com
reporter
Park Sae-jin
swatchsjp@ajunews.com
