LS Gu Ja-yeol Under Hospital Treatment After Traffic Accident... Songgang Music Festival Also Canceled

Gu Ja-yeol, chairman of the board of LS Group and former chairman of the Korea International Trade Association, is reportedly hospitalized and receiving treatment after a recent traffic accident. Due to this accident, the Songgang Music Concert, which Chairman Gu has passionately supported, has canceled its performance scheduled for this month.

Gu Ja-yeol, Chairman of the LS Group Board of Directors. / Photo by Dongju Yoon doso7@

On the 27th, an LS Group official told Asia Economy in a phone interview, "Chairman Gu recently had a traffic accident and is currently hospitalized receiving treatment," adding, "We understand that his injuries are not severe." It is reported that after the accident, Chairman Gu has canceled all schedules related to his duties and is focusing on treatment with the help of his family.

As a result of the accident, the 55th Songgang Music Concert, which was scheduled to be held at LS Yongsan Tower on the 19th of this month, was also canceled. This concert has been held every third Tuesday of the month since March 2017, and this sudden cancellation is the first since the suspension from February 2020 to July 2022 due to the spread of COVID-19.

The Songgang Music Concert is one of the projects operated by the Songgang Foundation, established according to the will of the late Songgang Gu Pyeong-hoe, honorary chairman of E1. It was created with the purpose of making classical music, which is generally difficult for the public to access, easily enjoyable for everyone. Chairman Gu, known as one of the leading 'music enthusiasts' in the business community, personally planned and managed the concert.

With Chairman Gu expected to have difficulty performing his duties for the time being, attention is focused on whether this will affect the group’s current affairs. LS Group plans to hold its regular shareholders' meeting and board of directors meeting on the morning of the 28th. Although Chairman Gu is the chairman of the board, it appears unlikely that he will attend the board meeting that day. At this shareholders' meeting and board meeting, LS Group is expected to approve a proposal to abolish the Restricted Stock Unit (RSU) system introduced last year. The RSU system is a compensation scheme linked to the stock price, with vesting periods ranging from as short as three years to as long as ten years.