In June 2020, LG executives met with Kim Young-shik, widow of the late chairman, to discuss family finances, during which they revealed a secretive share control structure that favored her adopted son, Koo Kwang-mo, prompting Kim and her daughters to record the meeting and later file a lawsuit alleging they were misled about their inheritance while exposing potential illegal practices involving nominee shares used for tax evasion and financial manipulation within the family-run conglomerate. #CorporateGovernance #InheritanceDispute #Chaebol #KR #JP
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Secret Recordings, Hidden Shares and a Family Rift at South Korea's LG
On a Thursday afternoon in June 2020, two executives from the LG finance department arrived at the hilltop home of Kim Young-shik, the widow of the company's previous chairman, for what was supposed to be a routine review of her family's finances.