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Lotte Homeshopping chief summoned over illegal lobbying

By 임정요
Published : July 12, 2016 - 10:32

The chief of Lotte Homeshopping, the TV channel of retail giant Lotte, was summoned by prosecutors Tuesday to face questioning over irregularities the company committed to renew its business license last year.

Kang Hyeon-gu appeared before the Seoul Central District Prosecutors' Office as a suspect on charges of violating the Broadcasting Act, becoming the first chief of Lotte affiliates to be openly summoned after prosecutors launched a full-fledged investigation into the country's fifth-largest conglomerate early last month. 



"I will fully cooperate with the investigation based on facts," he told reporters before entering the prosecutors' office. He declined to comment on any other questions regarding the allegations raised.

In May, the Ministry of Science, ICT and Future Planning ordered the TV channel to suspend its six-hour prime time broadcasting for six months starting from late September.

The ministry said Lotte Homeshopping submitted false reports on the number of executives and employees involved in a bribery case in 2014 in a bid to renew its business license for another three years in 2015.

Prosecutors suspect Kang created slush funds and directed company officials to give kickbacks to the ministry officials in the process. He is also accused of destroying evidence when prosecutors launched the probe.

Lotte, which has sprawling businesses in both South Korea and Japan, has been rife with a series of scandals since last year, including an internal power struggle between Shin Dong-bin and his older brother for managerial control. (Yonhap)


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