[Exclusive] Prosecution Conducts Search and Seizure on 'Ewha Group' for Gift Tax Evasion... Also Investigating Embezzlement and Breach of Trust

Seoul Central District Prosecutors' Office in Seocho-dong, Seoul.
Photo by Choi Seok-jin

On the 20th, the prosecution began a forced investigation into Ewha Group.

The Tax Crime Investigation Division of the Seoul Central District Prosecutors' Office (Chief Prosecutor Min Kyung-ho) conducted a search and seizure of the offices of Ewha Electric Industry and Etron headquarters in Gangnam-gu, Seoul, as well as the residences of related individuals, on the morning of the same day.

Ewha Group has been criticized for its vulnerable governance structure due to circular shareholding involving its affiliates such as Etron and EID.

Earlier, the National Tax Service reportedly detected Ewha Group's tax evasion allegations and filed a complaint with the prosecution.

The prosecution is said to have launched the search and seizure to investigate Ewha Group's gift tax evasion allegations, as well as overall management issues including embezzlement and breach of trust by the executives.