Allegation of 'Shinhan Bank New Employee Recruitment Corruption' Against Cho Yong-byeong, Supreme Court Verdict Today

Cho Yong-byeong, Chairman of Shinhan Financial Group, who was prosecuted on charges of involvement in fraudulent hiring of new employees / Photo by Jinhyung Kang aymsdream@

[Asia Economy Reporter Kim Daehyun] The Supreme Court's ruling on Cho Yong-byeong, Chairman of Shinhan Financial Group, who was prosecuted for manipulating scores and interfering in the recruitment process of new employees at Shinhan Bank, will be announced on the 30th.

On the morning of the same day, the Supreme Court's 2nd Division (Presiding Justice Lee Dong-won) will hold a sentencing hearing for the appeal trial of Chairman Cho and other Shinhan Bank executives indicted on charges including obstruction of business.

Previously, Chairman Cho and others were prosecuted for providing preferential treatment to certain applicants during the new recruitment process from 2013 to 2016.

The first trial sentenced Chairman Cho to six months in prison with a two-year probation. It was judged that during his tenure as Shinhan Bank President, he informed the HR department about the application and personal relationships of three specific applicants, thereby obstructing recruitment work.

However, the second trial acquitted him. The court reasoned that it could not be definitively concluded that two of the related applicants did not pass legitimately, and it was difficult to acknowledge Chairman Cho's involvement with the remaining one.

The second trial court stated, "Although the defendant conveyed the fact that a certain applicant had applied in the document screening stage to the then HR manager, and the recruitment team could reasonably be expected to consider 'this applicant was referred by the bank president' during the evaluation of successful candidates at each stage, such a statement by the defendant cannot be regarded as an 'instruction to pass'."

Nevertheless, the court pointed out, "If distrust in fairness causes general applicants to feel relatively deprived, and if such malpractice continues among Shinhan Bank personnel in the future, it could again be problematic under the charge of obstruction of business due to recruitment corruption."

Other defendants, including the then deputy head of HR who were prosecuted together, received reduced sentences or maintained acquittals in the appellate trial compared to the first trial.