Samsung chief to be released from prison today
South Korea will mark National Liberation Day across the country today, commemorating independence from Japanese colonial rule.
Commemoration events ahead of today included the traditional paroling of 800 prisoners. This includes Samsung’s de-facto head, Lee Jae-yong, who was imprisoned in January for bribing ex-President Park Gyun-hye. Many Koreans view the influence that huge family-run conglomerates such as Samsung—known as Chaeboi—have on the political system as corruptive.
However, Lee’s release reflects the importance of Samsung and the other Chaeboi—which led the country’s post-Korean War economic boom—to South Korea’s economy. Samsung products account for 20% of the country’s exports. Despite initially distancing himself from the matter, President Moon Jae-in has essentially made a political decision to parole Lee despite the tycoon’s other pending corruption charges and his unimpeded ability to make business decisions behind bars. Moon faces re-election In March 2022 and releasing Lee is likely to encourage the millions of Koreans who own Samsung shares.
Expect President Moon to walk a tightrope in the coming months as he seeks to keep Lee’s controversial release from complicating his re-election campaign whilst also emphasizing Samsung’s expected strong performance as an indicator of his government’s economic credentials.
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