Gov't grants special pardon to former Samsung chairman

(ATTN: UPDATES with remarks of President Lee, justice minister and Samsung Group in
paras 8-10 and last two paras)
SEOUL, Dec. 29 (Yonhap) -- The Justice Ministry said Tuesday that the government
has decided to grant a special year-end pardon to former Samsung Group chairman
Lee Kun-hee.
"The nation's business and sports circles have demanded a special pardon for
former chairman Lee, citing the need to boost PyeongChang's ongoing bid for the
2018 Winter Olympics," said Justice Minister Lee Kwi-nam in a news conference.
The minister said the special pardon will take effect on Thursday.
Lee was sentenced in August to a three-year suspended prison term and a fine of
110 billion won (US$89.2 million) for illegal bond transactions that caused huge
financial losses to a Samsung affiliate.
The 67-year-old Lee had served as Samsung chairman for 20 years and stepped down
from the group's top management post in April 2008 after he was indicted for
causing losses at Samsung companies and for failing to pay taxes.
Lee voluntarily gave up his rights and duties as an International Olympic
Committee (IOC) member following his conviction linked to the tax evasion scandal
in 2008.
Local sports officials have long said Lee's suspended status at the IOC was a
drag on the Olympic bidding efforts by the mountain resort city of PyeongChang.
"South Korea entered the international race for the 2018 Winter Games for the
third time but has only one executive member at the IOC," said the justice
minister. "It's necessary to reinstate Lee who can wholeheartedly help and
support the PyeongChang committee as it carries out the campaign."
President Lee Myung-bak also urged the former Samsung chairman to work towards
helping PyeongChang and the nation in the bid to host the games.
"Now is the time to clear his mind and work for the country in the sports sector
while also helping to increase the country's national competitiveness," the
president said in a Cabinet meeting, according to his spokeswoman Kim Eun-hye.
PyeongChang, located some 180 kilometers east of Seoul, has already lost to
Canada's Vancouver and Russia's Sochi in two previous attempts and is now bidding
to host the Winter Olympics in 2018.
Samsung Group released an unofficial statement expressing gratitude "to the
government and people."
"On the occasion of the special pardon, (we) would like to thank government
officials and the people," a Samsung spokesman said. "(We) will do our best to
live up to the people's expectations in PyeongChang's bid to host the Winter
Olympics."
(END)