Prosecutors Summon Former Samsung Life Executive Over 'Ananti Real Estate Backdoor Deal Suspicion'

The prosecution investigating allegations of real estate transaction corruption between the resort condo operator Ananti and Samsung Life Insurance has summoned an executive who was in charge of Samsung Life Insurance's investments at the time.

Prosecutor's Office [Image source=Yonhap News]

According to the legal community on the 5th, the Fair Trade Investigation Division of the Seoul Central District Prosecutors' Office (Chief Prosecutor Lee Jeong-seop) summoned A (62), former CEO of Samsung Securities, for questioning as a witness this morning.

Before serving as CEO of Samsung Securities, Mr. A held positions at Samsung Life Insurance including Head of the Financial Review Team (Senior Managing Director), Head of the Investment Business Division (Managing Director), and Head of the Asset Management Headquarters (Vice President). At the time of the transaction with Ananti, which raised suspicions of 'real estate backdoor deals,' he was a member of the Investment Committee.

In April 2009, Ananti purchased land and buildings in Songpa-gu, Seoul, for a total purchase price of 50 billion won. Before making the final payment, in June of the same year, Ananti signed a contract to resell the property, planned to be developed as a 17-story above ground and 7-story underground building, to Samsung Life Insurance under a completion condition. Through this, Ananti recorded sales of approximately 97 billion won, nearly double the purchase price, within two months.

The prosecution suspects that former Samsung Life Insurance executives purchased the real estate at prices higher than market value, causing the company hundreds of billions of won in losses, and that Ananti, in return, handed over embezzled company funds as kickbacks to Samsung Life Insurance officials.