Lee Jae-yong, grandson of Samsung’s founder and the de facto head of the company since 2014, has been cleared of fraud charges on Thursday, concluding a decade-long legal battle over his role in a 2015 merger deal.
Accused of using stock and accounting fraud to try to gain control of the firm, Lee was acquitted of all charges in two earlier trials. In its final verdict, the South Korean Supreme Court upheld a not guilty verdict.
The case drew widespread scrutiny of the technology giant, as the country grapples with corporate corruption scandals involving its powerful family-run conglomerates known as chaebols, reports BBC.
“Today, the Supreme Court has clearly confirmed through its final ruling that the merger of Samsung C&T and the accounting treatment of Samsung Biologics were lawful,” said Samsung’s lawyers on Thursday. “We sincerely thank the court for its wise judgment following a thorough five-year trial process.”
The Samsung Electronics Chairman faced allegations of fraud in the wake of a merger that led to his succession, after his father Lee Kun-hee suffered a heart attack and was left in a coma in 2014.
In 2024, a district court cleared Lee of all charges linked to the merger worth around $8bn (£5.97bn) between two of its subsidiary companies. Lee was cleared again after prosecutors appealed the case in the High Court.
Samsung struggles with intensifying competition and underwhelming stock market performance, and the legal battles over the past decade have only added to company’s troubles.