The board of South Korean operator KT Corp has accepted the resignation of its CEO Suk-Chae Lee as legal investigations regarding corruption allegations made against him are ongoing.
The company said it has decided to run an “emergency management…
The board of South Korean operator KT Corp has accepted the resignation of its CEO Suk-Chae Lee as legal investigations regarding corruption allegations made against him are ongoing.
The company said it has decided to run an “emergency management system” with Hyun-Myung Pyo, head of KT’s telecom and convergence division, serving as acting CEO.
The board is planning to organise a nominating committee early next week to recommend the next CEO candidate.
A few weeks ago, state prosecutors reportedly raided KT’s offices. Shortly after, Lee told employees in an email that he would resign, so as not to impact the company’s reputation. He however denies the allegations.
The probe was launched after a South Korean civic group filed charges against the CEO in February and October this year, according to reports.
The group alleges that Lee has made poor investments decisions and sold some of KT’s properties below market value, therefore causing W87bn (US$81.8m) in losses to the operator.
