South Korea’s Supreme Court on Thursday has dismissed Samsung Electronics chairman Jay Y. Lee’s long-standing role• Significant charges of market manipulation linked to accounting fraud and 2015 $8A billion merger.
The unanimous verdict backed the Court of Appeal last year, effectively shutting down the legal narrative that hid Lee for nearly a decade. With this ruling, Lee, the founder of Samsung since 2014 and grandson of its de facto leader, can now pay his full attention. SamsungAmbition to catch up with a fiercely competitive AI chip arena.
Samsung investors cheered on the ruling
Samsung’s lawyers reportedly were pleased with the verdict, revealing that the merger between Samsung C&T and the Chill Industry was at the heart of the legal battle.
“Today, the Supreme Court has clearly confirmed through its final ruling that the merger of Samsung C&T and accounting treatments for Samsung biology are legal.”
Samsung lawyer.
“We appreciate the wise decision following the thorough five-year trial process,” the lawyer added.
Lee has previously been permitted to file fraud claims Two previous exams. Last year, a lower court dismissed the charges against Lee.
Prosecutors had claimed a type of unjust integrated power within the family’s empire, but the judges did not find any misconduct.
Samsung investors were relieved as the court passed the ruling. That stock had risen more than 3% by the end of Thursday.
Marketwatchers were partly attributable to the rise in stock prices, which resulted in a rise in stock prices as a result of a revolving stock price after Goldman Sachs cut its ratings with rival SK Hynix.
The incident depicted extensive scrutiny of the company. South Korea Fighting against corporate scandals, including a powerful family-owned conglomerate known as Chaebols.
“The Supreme Court decision clears a layer of legal uncertainty, which could be a long-term positive for Samsung.”
Ryu Young-Ho, senior strategist at NH Investment & Securities.
he Added Lee’s more hands can free executives to focus on long-term research and development instead of short-term outcomes.
“We don’t know how directly and proactive he will be involved in the future, but if the owner is taking on a more active role, management can be able to focus more on long-term initiatives than on short-term outcomes,” Ryu added.
The company is now recovering with Lee driving a new investment
The Business Lobby Group also welcomes decisions that call court decisions an advantage for the country’s wider economy.
According to the Korean Federation of Businesses, the ruling comes at a critical time as local businesses are increasing in AI and semiconductor efforts amidst continuing US trade pressures.
Samsung Group is also cheerful about Lee spurring new investments and leading the company to recover following its acquittal.
57 years old Lee They’re caught up in some legal battles. In 2021, he served in prison for 18 months for bribery linked with former President Park Gen Hee, but was relented by President Yun Sook-Yeol in the second half of 2023.
However, Lee’s assignments are not over despite his innocence. Samsung recently warned about people who are more sudden than expected 56% drops sharply In operating profit for the second quarter, due to slowing sales of AI chips. Marketwatchers are worried that companies will need to not only protect their core memory chips and smartphone business, but also identify the next big technology engine.
“Jay Y. Lee needs to balance his authority with a rekindling of growth,” said Park Jugan, Head of Analytics at Leader Index. “He needs to sort out both his existing division and his new frontiers for scouts.”
In the meantime, one major distraction has fallen off Lee’s plate. The market is waiting to see if it can turn Samsung’s fortunes around, whether it can turn around, whether it’s AI chips, smartphones or the next big innovation.
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