Samsung chief grilled over bribery allegations

Jay Y. Lee, vice-chairman of Samsung, bows as he arrives at the prosecution office in Seoul, South Korea, to be questioned over bribery allegations.Ahn Youngjoon/ Reuters

Investigators considering arrest warrant for head of tech giant

The head of Samsung Electronics was questioned on suspicion of bribery on Thursday in an influence-peddling scandal that led to President Park Geun-hye's impeachment.

Park remains in office but has been stripped of her powers while the Constitutional Court decides whether to uphold the December impeachment and make her the first democratically elected leader to be forced from office.

Park has denied wrongdoing.

Jay Y. Lee, the vice chairman of Samsung's electronics division and the son of group chairman Lee Kun-Hee, was greeted by protesters holding signs calling for his arrest and accusing him of being the president's accomplice as her arrived at the prosecution office in Seoul.

"I am very sorry to the South Korean people for not showing a better side," he said.

Investigators will now decide whether to seek an arrest warrant against Lee, 48, said special prosecution spokesman Lee Kyu-chul.

Parliament impeached Park over allegations she allowed a friend, Choi Soon-sil, to exert inappropriate influence over state affairs.

Choi is accused of colluding with Park to pressure big businesses, including Samsung, to contribute to nonprofit foundations backing the president's initiatives.

Choi, in detention and on trial on charges of abuse of power and attempted fraud, has denied wrongdoing.

Prosecutors named Lee as a suspect on Wednesday and are investigating whether Samsung gave 30 billion won ($25.28 million) to a business and foundations backed by Choi in exchange for the national pension fund's support for a 2015 merger of Samsung C&T Corp and Cheil Industries Inc.

Lee in December denied accusations the conglomerate sought to curry favor with Park or Choi to secure the 2015 merger.

Proving improper dealing between Park, or Choi, and Samsung will be key to the prosecutors' case, analysts said, noting their goal was to prove Park or her surrogates took bribes in exchange for favors.

The special prosecution spokesman said investigators were also looking into whether Lee lied during a December parliamentary hearing about Samsung's involvement in the scandal, as well as whether he could be charged with breach of trust or embezzlement.

The special prosecution has not begun investigations into any other conglomerates. Dozens of South Korean corporate groups made contributions to the two foundations, but Samsung's donations were the largest.

The scandal has triggered weekly rallies calling for Park to step down. She has apologized and said this month that the pension fund's support for the Samsung companies' merger was in the national interest.

If Park were to leave office, a presidential election would be held within 60 days. Among the expected contenders is former United Nations Secretary-General Ban Ki-moon.

Jay Y. Lee's arrest or indictment would be a blow to Samsung, which has been streamlining its business to ensure a stable transfer of control from the ailing Lee Kun-hee to his children.