Business Editor's Picks

Lotte founder sues his son for obstructing business

Yonhap News
Written by Yonhap News

The Lotte Group founder on Tuesday asked the prosecution to investigate his son for allegedly obstructing business as the family is locked in a bitter succession feud between siblings.

Shin Kyuk-ho filed the charges against his second son Dong-bin, chairman of the group, and two other chief executives of the group’s units with the Seoul Central District Prosecutors’ Office for business obstruction and concealing properties.

Lotte, South Korea’s fifth-largest conglomerate, has been mired in a leadership dispute between the group founder’s two sons — Dong-joo and Dong-bin — since last summer. The two sons had each controlled the company’s operations in Japan and Korea until earlier this year.

While the eldest son Dong-joo was ousted from 26 key positions at Japanese units between last December and January this year, Dong-bin took the helm of Tokyo-based Lotte Holdings, the group’s holding firm, after winning support from Japanese shareholders in August.

The three — chief of Lotte Holdings Co. Takayuki Tsukuda; head of Lotte Capital Co. Masamoto Kobayashi; and Dong-bin — are suspected of providing incorrect and exaggerated information on the eldest son to Shin Kyuk-ho over the course of his dismissal, Shin’s representatives said in a press release.

Shin Kyuk-ho’s lawyers also claimed that the defendants illegally took his seal to prevent Shin from using it.

Last month, the eldest son filed a lawsuit against Tsukuda with the Tokyo District Court in a sideline attack against his younger brother, as he has teamed up with Dong-bin.

 

About the author

Yonhap News

Yonhap News

Yonhap News is South Korea's largest news agency based in Seoul.

Click here not to show this pop-up box again.