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Samsung likely to resist Indian court order again

Publication Date : 10-06-2014


Samsung Group is likely to request that an Indian court withdraw a summons for its chairman Lee Kun-hee, according to Samsung officials Monday.

“Samsung is expected to tell the court once again that the chairman, who is being hospitalised after suffering from a heart attack, will not be able to attend the trial,” said an official from the conglomerate, claiming that the chairman has nothing to do with the ongoing legal dispute in India.

The Samsung chairman is currently embroiled in a legal case in which he is accused of several charges, including fraud against a New Delhi-based company called JCE Consultancy. The company is said to have filed charges against top Samsung executives including the CEO and Yun Jong-yong, former head of the conglomerate’s flagship electronics business.

The Indian company claimed that it sold goods worth US$1.37 million in 2001 to Sky Impex, a Dubai-based firm, which bought the products for Samsung’s Dubai subsidiary, Samsung Gulf Electronics. JCE Consultancy says it has not received payment for the purchase.

Samsung, however, is claiming that it was also the victim of a scam.

The scam reportedly involves representatives of Sky Impex and officials from Samsung Gulf Electronics who plotted to embezzle the $1.37 million that was due to JCE Consultancy. Samsung claims it has already paid the amount in full to the Indian firm.

Some of the involved Sky Impex executives sentenced to prison terms of two years are said to still be at large, according to news reports.

In April, the Supreme Court of India ordered Lee to present himself in court in the city of Ghaziabad to face the criminal charges, and warned if he failed to do so the police would arrest the chairman when he enters the country.

The Ghaziabad district court issued an order for appearance to Lee again on June 2 after it dismissed Samsung’s petition to withdraw the first court order.

Meanwhile, the Samsung CEO, who received a cardiac treatment after a heart attack, is currently still recovering.


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