msung's leader Jay Y Lee, likely to face indictment Tuesday. Its the deadline for South Korean prosecutors to formally accuse the billionaire and possibly five suspected Samsung group execs. That's on charges of bribery linked to a corruption scandal running all the way to President Park Geun-hye, allegedly in return for favors including support for a 2015 merger that ensured Lee's control of the group.
If he's indicted it could affect his family's leadership succession. Lee was arrested two weeks ago, but as Reuters' Vincent Lee reports a long term stay could derail Samsung.>> Well, in terms of short term operations, they have a lot of professional managers in charge of the various affiliates.
In the medium to long term, some key decisions like major investments into new business, or major acquisitions, or may get delayed as a result of Lee actually being detained and potentially facing a prison term.>> Even though Samsung group and Lee deny paying the nearly 38 million dollars in alleged bribes, the companies pledged more transparency and two senior execs offered to resign last week, both of them suspects.
Lee himself maintains he is innocent.>> In terms of his defense, it seems very clear that will argue that he did not seek favors or try to pay bribes to create favor at this point. It seems like what he will argue is that he was instead a victim of coercion from pressure from the President.
>> Lee can seek bail after he's indicted and a court has to make its first ruling within three months. His number two, Vice Chairman Choi Gee-sung, is one of the executives suspected of wrong doing. If he steps down and Lee's stuck in jail, analysts tell Reuters South Korea's biggest conglomerate will go through some radical changes at the top.