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| Hyundai chief handed 3-year suspended sentence |
SHANGHAI, Sept. 6 -- AN appeals court today suspended a three-year prison term handed to Hyundai Motor Co Chairman Chung Mong-koo for embezzlement, enabling the tycoon to remain at the helm of the world's sixth-largest automaker without going to jail.
The Seoul High Court issued the verdict. A lower court had sentenced Chung in February for embezzlement and breach of trust. Prosecutors had sought a six-year jail term.
The court upheld the original three-year term but suspended it for five years, meaning that Chung will avoid prison as long as he keeps a clean record.
The court also ordered him to do community service and fulfill a promise he made to make a large donation to charity.
The decision comes seven months after the original sentence at the Seoul District Court finding him guilty of embezzling the equivalent of more than US$100 million in company money to set up a slush fund. Prosecutors say the fund was used to pay lobbyists to gain government favors and for personal use.
In his appeal, Chung asked the court that he be allowed to avoid prison to devote his energies to the company and contribute to South Korea's economy.
Prosecutors sought a six-year prison term, the same as their original demand, saying the February decision was not harsh enough for the crime.
"We are greatly relieved that this matter is finally over," Hyundai said in a statement. "We can now devote our full energies to addressing the numerous challenges that face us and building a global brand."
It was not immediately clear if prosecutors planned to appeal to the Supreme Court. A lawyer for Chung said earlier today that the nation's top court only hears cases involving guilt or innocence, suggesting that an appeal regarding the sentencing would be unlikely.
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