Samsung shares fall after inheritor Jay Y Lee was sentenced to jail once more
Jay Y. Lee, co-vice chairman of the Samsung Electronics Center, wears a protective mask as he is surrounded by media representatives at Seoul Central District Court in Seoul, South Korea on Monday, June 8, 2020.
SeongJoon Cho | Bloomberg via Getty Images
SINGAPORE – Shares in groups affiliated with South Korean conglomerate Samsung Group fell Monday after Samsung heir Jay. Y Lee was sentenced to two and a half years in prison by a South Korean court on Monday.
By the close of trading on Monday in South Korea, shares of the industry heavyweight Samsung Electronics had fallen 3.41%. dive more than 4% earlier in the session
Samsung C&T shares also posted heavy losses, falling 6.84%. The Samsung SDI was down 4.21% while Samsung Heavy Industries fell 2.74%. and Samsung Life Insurance slipped 4.96%.
Samsung-related stocks dragged South Korea’s broader index down, and the Kospi fell 2.33% to close.
According to local Yonhap News Agency, Lee returned to prison after a bribery case against former President Park Geun-hye was retried.
“In this case, a company’s freedom and right to prosperity were violated due to the abuse of power by the former president,” Lee’s chief attorney said in a statement from Samsung Electronics, according to a CNBC translation.
The 52-year-old Samsung scion was unexpectedly released from prison in 2018 after a South Korean appeals court suspended his previous sentence. He was previously accused of giving bribes worth 29.8 billion won (around $ 27 million) and promising to give more, Yonhap reported.
Former President Park recently upheld her 20-year sentence on transplant charges, according to Reuters.
– CNBC’s Chery Kang contributed to this report.