South Korean police raid Samsung unit

Seoul Oct 18 (IANS) South Korean police on Wednesday raided the head office of Samsungs construction arm to probe allegations that the company s funds were diverted to renovate the group patriarch Lee Kun-hee s family residences officials said.

Investigators from the Korea National Police Agency searched Samsung C&T s construction division to seize documents related to remodeling projects.

Police suspect that billions of won (millions of dollars) in company money was used to fund the remodelling of Lee family residences Yonhap news agency reported.

Samsung is suspected of making payments from accounts created under borrowed names between 2008 and 2015. In August police raided the management office that administers the residences and seized related documents the agency reported.

Police said they plan to call in company officials for questioning after scrutinizing the seized documents.

The investigation came after police found financial irregularities in a housing interior company in a separate probe. Police had also been investigating similar suspicions involving Korean Air Chairman Cho Yang-ho.

--IANS
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