A South Korea court has acquitted Samsung Electronics Chairman Lee Jae-yong of financial crimes regarding a 2015 merger.
The Seoul Central District Court ruled on Monday that Lee is not guilty of stock price manipulation and accounting fraud. The case was the latest episode in an ongoing scandal, centred on control of the country’s largest company and involving high-level corruption that has rocked South Korea.
Prosecutors had claimed that the conditions of the 2015 merger of two Samsung affiliates – Samsung C&T and Cheil Industries – were designed to allow Lee to tighten his hold over the company.
However, the court said the prosecution failed to prove that the merger was unlawfully conducted with the aim of smoothing out a succession issue.
Prosecutors had sought a five-year jail term. They have not yet said whether they will appeal the ruling.
Lee had denied wrongdoing, saying the merger was part of “normal business activity”.
