Police have booked the CEO of South Korean steel titan POSCO and a dozen other board members for investigations on charges of having subsidiary firms shoulder their overseas board meeting expenses worth some 700 million won (US$532,244).
The 16 board members of POSCO holdings, including its CEO Choi Jeong-woo, held a weeklong board meeting in Canada last year, which cost some 680 million won in total.
Police suspect the expenses were shared by the company’s subsidiaries, with POSCO-Canada paying 310 million won and POSCO 20 million won, in violation of company rules.
The police said they have launched an investigation and booked the board members on charges of occupational breach of trust.
Officials are also looking into suspicions that outside directors who attended the board meeting have violated the anti-graft law by staying at high-end hotels and enjoying luxurious meals.
Source: Yonhap News Agency