KT, Korea’s second-largest mobile carrier, plans to discuss how to fill the managerial vacuum caused by its chairman Lee Suk-chae’s resignation when it holds a meeting of the board of directors on Tuesday, company officials said.

Outgoing chairman Lee is expected to submit his letter of resignation at the meeting.

The participants will discuss who should lead the company until his successor is appointed and the appointment is approved by the shareholders’ meeting, according to the officials.

Pyo Hyun-myung, president of KT’s telecommunications and convergence, is said to be one of the strong candidates for the acting chairman, but a KT official said, “Nothing has been decided yet.”

Recently, CEO Lee expressed his willingness to quit the post amid prosecutorial pressure to investigate him on his alleged wrongdoings.

Allegations against Lee included selling 39 KT buildings at lower than market price, overpaying when acquiring an online educational company, and causing financial damage by investing in a subway advertisement business that he had anticipated to be unprofitable.

The CEO position in KT has been reportedly swayed by political pressure, leaving Lee and his immediate predecessor Nam Joong-soo short of completing their tenure. Lee, whose tenure is due to expire in March 2015, took the helm of the mobile carrier in 2009.

The KT board consisting of seven outside directors and one from inside the company will choose a nominee for CEO, who then will be put to a vote for approval at a shareholders’ meeting, expected to be held early next year, according to a KT official.

On Monday, prosecutors raided 13 offices of KT and houses of top executives after previous raids conducted last month and earlier this month. The prosecutors and investigators have reportedly secured hard drives, documents and accounting books related to Lee’s allegations.

Another probe by the prosecution into KT’s sales of Mugungwha 2 and 3 satellites at a bargain price without receiving permission from the government is expected to start as soon as this week when the Ministry of Science, ICT and Future Planning will file a complaint against the mobile firm.

Market analysts and KT officials expressed concerns over alleged influence peddling by political circles against a private company.

“It is seen as external pressure forcing the CEO out of office, whether it is true or not,” said a KT official. “Such replacement of the head of a private firm should not occur anymore, especially for the sake of business continuity.”

By Kim Young-won (wone0102@heraldcorp.com)