[Photo by Yoo Dae-gil = dbeorlf123@ajunews.com]
Police sought a court-issued warrant to arrest Hanjin Group patriarch Cho Yang-ho, who also controls South Korea's flag carrier, Korean Air Lines, over alleged misappropriation of company funds to renovate his residence.
The warrant followed a probe that began in July into the construction of a hotel near an international airport west of Seoul and the remodeling of Cho's Seoul home between May 2013 and August 2014. Cho, who is suspected of embezzling company money, has denied any wrongdoing. Police also requested an arrest warrant for a group executive on similar charges.
If approved by court, Cho's arrest would seriously hurt the image of Hanjin Group, which has been at the center of controversy and criticism over the liquidation of Hanjin Shipping, a key affiliate which used to be South Korea's largest container carrier.
Hanjin Shipping filed for court receivership last year that triggered chaos in its global cargo traffic. The company was formally abandoned in February under a sweeping government-led program to restructure South Korea's ailing shipping and shipbuilding sectors.
South Korea's family-run conglomerates, known as chaebol, have been on guard since President Moon Jae-in took office in May and vowed to stop chaebol's unfair business activities.
reporter
Lim Chang-won
cwlim34@ajunews.com
