Chairman Lee Joong-geun of Booyoung Resigns as CEO of Holding Company and Six Affiliates

Mass Replacement of Key Executives

Lee Joong-geun, chairman of Booyoung Group, is entering the courtroom to attend the detention warrant hearing at the Seoul Central District Court in Seocho-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

[Asia Economy Reporter Kim Heung-soon] Lee Joong-geun, chairman of Booyoung Group, whose prison sentence was confirmed by the Supreme Court, has stepped down from his positions as CEO and inside director of the holding company and six affiliates.

According to Booyoung Group and the electronic disclosure system on the 29th, Chairman Lee resigned last month on the 29th from his roles as CEO and inside director of the holding company Booyoung and six affiliates: Booyoung Housing, Donggwang Housing, Gwangyoung Construction, O2 Resort, Incheon Ilbo, and Booyoung Finance Loan.

Booyoung Group has a total of 23 holding and affiliate companies. Chairman Lee was CEO or inside director of 19 of these. Although his name was removed from seven CEO and inside director positions this time, he still holds CEO and inside director roles in the remaining 12 affiliates.

In February 2018, immediately after Chairman Lee’s detention, Booyoung Group introduced an acting chairman system in May of the same year. Subsequently, they appointed former Asian Development Bank (ADB) Vice President Shin Myung-ho (in charge of management), Lee Se-jung, honorary chairman of the Environmental Foundation (in charge of legal affairs), and former Daelim Industrial Chairman Lee Yong-gu (in charge of technology and overseas divisions) as acting chairmen.

After acting chairman Lee Yong-gu resigned last year, Booyoung Group maintained a dual leadership system until recently. However, on the 25th of last month, acting chairman Lee Se-jung resigned from his CEO positions at Booyoung, Booyoung Housing, Donggwang Housing, and Donggwang Housing Industry, and stepped down from the acting chairman role. For the time being, Booyoung Group will be operated under a single acting chairman system led by Shin Myung-ho.

Additionally, Lee Joong-geun’s third son and film director Lee Seong-han stepped down as CEO of Booyoung Entertainment on the 23rd of last month. President Lee Ki-hong, who was CEO and inside director at Booyoung, Booyoung Housing, and Donggwang Housing, also retired as of the 13th. CEO Lee Jong-hyuk of O2 Resort and Cheonwon Comprehensive Development resigned from his CEO and inside director positions at both companies on the 23rd of last month. He also relinquished his inside director roles at Gwangyoung Construction, Bugang Housing Management, and Donggwang Housing Industry.