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MW 1 March 2017

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maltatoday, WEDNESDAY, 1 MARCH 2017 11 The heir to the Samsung empire Lee Jae-yong and four other top execu- tives from the world's biggest smart- phone maker have been indicted on multiple charges including bribery and embezzlement, South Korean prosecutors said. The case is tied to the scandal which led to the impeachment of the country's president, Park Geun-hye. "Special prosecutors today indicted Samsung Electronics vice chairman Lee Jae-yong ... for bribery, embezzlement, hiding of assets overseas ... and perjury," said Lee Kyu-chul, spokesman for the team probing the corruption and power abuse scandal. Three of the indicted executives resigned on Tuesday following the announcement. Samsung also said it was dismantling its corporate strategic office, a unit coordinating the various arms of the huge conglomerate. Samsung is accused of giving donations to non-profit foundations operated by Choi Soon-sil, a friend of Park, in exchange for government favours. Prosecutors accused Lee of giving donations worth 41bn won ($36m) to organisations linked to Choi. They alleged this was done to win government support for a big restructuring of Samsung that would help a smooth leadership transition in favour of Lee, who is standing in as chairman for his ill father, Lee Kun- hee. The controversial merger required support from the national pension fund - the allegation is that this support was granted in return for the donations. In a December parliamentary hearing, Samsung admitted giving a total of 20.4bn won to two foundations, but denied seeking favours in return. Lee also confirmed the firm gave a horse and money to help the equestrian career of Ms Choi's daughter, Chung Yoo-ra, something he said he now regrets. This centres around President Park's ties to Choi and has brought allegations of cult activities, influence-peddling and leaks of classified information. Choi is a long term family friend whose father had already had close ties with President Park's father who was president in the 1970s. Lee is currently vice-chairman of Samsung Electronics. But since his father, Lee Kun-hee, suffered a heart attack in 2014, he is considered de facto boss of the entire Samsung Group conglomerate. Regardless of the outcome, a trial is a big blow to the company. His arrest may not affect short term production or the running of the firm but there could be long term implications. Samsung is one of the biggest electronics companies in the world and for the head of a company that thrives on a premium brand image to be involved in a corruption scandal is a huge embarrassment. Earlier in February, when Lee was first arrested, the firm said it would do its best "to ensure that the truth is revealed in future court proceedings", though denies wrongdoing. Business Today www.creditinfo.com.mt info@creditinfo.com.mt Tel: 2131 2344 Your Local Partner for Credit Risk Management Solutions Supporting you all the way FinanceMalta highlights Malta as EU domicile for payments business FinanceMalta Chairman, Kenneth Farrugia highlighted Malta's com- petitiveness as an EU domicile for payments during his keynote ad- dress at The Nextgen Payments Fo- rum 2017 which was held on the 2 and 3 February at Le Meridien St Julian's. The Nextgen Payments Forum is a premium gathering for senior executives involved in fi - nancial transactions and payments operations. This two day international forum brought together experts, regulators and senior representatives from the European banking and merchant industries, with leading solution providers in an intimate and dynamic forum to discuss the current industry ecosystem, placing payments at the heart of the conversation to further advance strategic industry collaborations. The forum comprised of an interactive conference model, formal and informal networking activities as well as a focused meeting platform where attendees gathered to share their best practices and business solutions. The event was chaired by Tony Craddock, Director General of the Emerging Payments Association and included a number of high caliber speakers such as Paul Alfing, Senior Consultant Retail, Payments Advisory Group & Co-Chair, ERPB Working Group on Payment Initiation Services, Ecommerce Europe, Robert Courtneidge, Global Head of Cards and Payments at Locke Lord and Peter Locke, Founder, Fintech Ireland, Board Director, TransferMate & Susquehanna International. In his presentation entitled 'Malta: A Leading European Payments and e-Money Destination', Farrugia, spoke about Malta's growth traction and key developments that were positioning the jurisdiction as an EU domicile for Payments and eMoney business. This has led to increased interest in Malta as a base for financial institutions providing money and payment services internationally. Farrugia also participated in a discussion panel on the opportunities and challenges brought about by BREXIT which was moderated by Mr Peter Oakes. Throughout the two day event, delegates from Cyprus, Portugal, Netherlands, France, Belgium, UK, Italy, Russia Germany, Ireland, Gibraltar, Switzerland, UAE, Slovakia and Malta also had the opportunity to participate in several panel sessions and workshops which discussed a number of themes including pension funds, securitisation and private equity and venture capital funds. During this well attended event, the delegates also had numerous opportunities to network and discuss business opportunities and industry related issues. FinanceMalta Chairman Kenneth Farrugia Samsung chief indicted in bribery scandal Lee Jae-yong, was indicted on corruption charges linked to the political scandal that led to the impeach- ment of South Korean President Park Geun-hye

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