Former STX Head Gets Six Years in Prison

Former STX Head Gets Six Years in Prison

Seoul Central District Court  has sentenced Kang Duk-soo, the founder and the former head of South Korea’s shipping and shipbuilding conglomerate STX Group, to six years in prison for a number of corporate crimes, Yonhap reports.

Kang Duk-soo, who headed the group from 2003 to February 2014, was convicted of illegally diverting funds of the group’s faltering shipbuilding unit STX Heavy Industries Co. towards other ailing affiliates, mostly STX Construction Co.

Kang was also found guilty of tampering with the accounts to cover his tracks, as well as embezzling STX funds to invest in his privately owned firm.

“Kang inflicted huge losses on financial institutions through accounting fraud that threatens trust and transparency of the capital market,” Yonhap reports Judge Kim Jong-ho saying in his ruling.

Prosecutors had initially accused the 64-year-old of corporate crimes amounting to USD 2.4 billion, but the court found Kang guilty of accounting fraud valued at USD 547.3 million, and the embezzlement of USD 63.7 million.

World Maritime News Staff

 

 

Share this article

Follow World Maritime News

In Depth>

Events>

<< Feb 2020 >>
MTWTFSS
27 28 29 30 31 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 1

The 9th Annual Event Green Shiptech China Congress 2020

The 9th Annual Event- Green Shiptech China Congress 2020 will be held on next…

read more >

2nd GREENTECH IN SHIPPING GLOBAL FORUM

Forum you will find out from the regulators, government bodies and major ports’ representatives what the near…

read more >

7th Annual Arctic Exchange

Every year the Exchange invites delegates from across the globe to come together to listen to key senior management teams…

read more >

World Future Ports Summit 2020

This event will bring together ports and maritime shipping professionals from global leading companies and authorities to discuss recent digital technologies…

read more >