[Yonhap News Photo]
SEOUL, Jan. 17 (Aju News) -- South Korean prosecutors questioned Hyosung Group chairman Cho Hyun-joon Wednesday over alleged business irregularities, a year after he took the helm of the conglomerate from his ailing father.
Cho, 50, is suspected of creating slush funds at home and abroad and embezzling company money. The investigation was based on complaints filed by his brother, Cho Hyun-moon, in 2014 that the chairman has been involved in various irregularities.
The group's business scope covers textiles, chemicals, trading to heavy industries and construction. Hyosung is the world's largest producer of spandex, a synthetic fiber known for its exceptional elasticity, and about 40 percent of its profits come from the textile business.
Hyun-joon, the eldest son of group patriarch Cho Seok-Rae, took over as chairman in December 2016 when his father stepped down for health reasons, ending a protracted feud with his brother, Cho Hyun-moon, over the succession of group leadership.
The group has been the target of criticism by civic groups. Hyun-joon was given a suspended prison sentence on conviction of embezzlement in 2010 and received a pardon later. He received a suspended sentence again in 2016 for tax evasion and accounting fraud. He appealed the conviction, and a final decision is still pending.
reporter
Lim Chang-won
cwlim34@ajunews.com
