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South Korean court sentences Samsung heir to 5 years prison
Headline Legal News |
2017/08/27 00:35
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A South Korean court sentenced the billionaire chief of Samsung to five years in prison for crimes that helped topple the country’s president, a stunning downfall that could freeze up decision making at a global electronics powerhouse long run like a monarchy.
The Seoul Central District Court said Friday that Lee Jae-yong, 49, was guilty of offering bribes to Park Geun-hye when she was South Korea’s president, and to Park’s close friend, to get government support for efforts to cement his control over the Samsung empire. The revelations that led to Lee’s arrest in February fed public outrage which contributed to Park’s removal.
A panel of three judges also found Lee guilty of embezzling Samsung funds, hiding assets overseas, concealing profit from criminal acts and perjury. Prosecutors had sought a 12-year prison term.
The court said Lee and Samsung executives who advised him caused “a big negative effect” to South Korean society and its economy.
“The essence of the case is unethical collusion between political power and capital,” the court said in a statement. It led the public to fundamentally question the public nature of the president’s work and to have “mistrust in the morality of the Samsung group,” it said.
The families who control South Korea’s big conglomerates, known as chaebol, were lionized a generation ago for helping to turn South Korea into a manufacturing powerhouse put public tolerance for double standards that put them above the law has been rapidly diminishing.
Analysts said the verdict will not immediately have an impact on Samsung’s business operations, which are overseen by three chief executives. The company has successfully weathered past crises that include two recalls of Galaxy Note 7 smartphones prone to catch fire and Lee’s arrest. It is set to report its highest-ever earnings this year.
But long-term business decisions, such as finding future growth areas and identifying companies for acquisitions, may have to be put on hold.
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Court file: Michigan girl who killed toddler heard voices
Headline Legal News |
2017/08/21 09:00
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Court documents say an 8-year-old girl accused of killing a toddler at a home daycare in western Michigan earlier this year suffers from "serious mental health" issues, including hearing a demon's voice.
The Department of Health and Human Services filed a petition in Muskegon County Family Court saying the girl, who was also cared for at the home daycare, killed 14-month-old Korey Landon Brown on April 14.
The petition filed last month asks the court to make the girl a temporary ward of the state and to make a decision regarding the girl's placement that protects her brother and other children. The petition says the best placement is Hawthorn Center, a state-run residential psychiatric facility in Northville for children and adolescents.
Chief Assistant Prosecutor Timothy Maat tells MLive the petition was the result of an investigation conducted by multiple agencies.
Korey's mother said that when she went to the daycare to take her children home, she found the boy unresponsive in a playpen and covered with bite marks. His death was ruled a homicide due to multiple injuries, including trauma to his head, other blunt force trauma and possible asphyxiation, according to the petition.
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Kentucky governor, attorney general clash before high court
Headline Legal News |
2017/08/21 09:00
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Kentucky's Democratic attorney general warned the state's highest court on Friday that the accreditation of the state's public colleges and universities would be at risk if they don't take his side against the Republican governor.
But an attorney for Republican Gov. Matt Bevin called Andy Beshear's argument "poppycock." He told the justices they should dismiss Beshear's lawsuit and vacate a lower court's judgment that the governor broke the law when he abolished the University of Louisville's board and replaced its trustees with an executive order last year.
What was supposed to have been a 30-minute hearing stretched more than an hour in a courtroom packed with political aides from both parties as two of Kentucky's top politicians faced off before the Supreme Court for the second time in a year.
Ultimately, Bevin got his wish for a new board at the university after the legislature convened and the Republican majority approved his choices under a new law. That's why a ruling from the Kentucky Supreme Court in this case likely won't affect the new board.
But Beshear is asking the court to declare Bevin's original order illegal and to prevent him from doing it again. If he's successful, it would be his second legal victory against Bevin and would be likely fodder for a potential campaign for governor in 2019.
If Bevin wins, it would bolster the governor's argument that Beshear has wasted time filing frivolous lawsuits against him.
Bevin replaced the board because he said the university needed a "fresh start" after a series of scandals and because the board violated state law by not having proportionate representation of racial minorities and political parties.
In issuing his executive order, Bevin relied on a state law, KRS 12.028 , that lets the governor make temporary changes when the legislature is not in session. The legislature then reviews those changes when they reconvene. If they don't act on them, the changes expire. |
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Maryland removes Dred Scott ruling author's statue
Headline Legal News |
2017/08/17 08:58
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A statue of the U.S. Supreme Court justice who wrote the 1857 Dred Scott decision that upheld slavery and denied citizenship to African Americans was removed from the grounds of the Maryland State House early Friday.
The statue of Roger B. Taney was lifted away by a crane at about 2 a.m. It was lowered into a truck and driven away to storage.
The bronze statue was erected in 1872, just outside the original front door of the State House.
Three of the four voting members of the State House Trust voted by email Wednesday to move the statue. House Speaker Michael Busch, a Democrat who was one of the three who voted to remove it, wrote this week that the statue "doesn't belong" on the grounds.
His comments came after the violent protests in Charlottesville, Virginia, last weekend, with clashes between white nationalists and counter-protesters. A woman was killed when a car plowed into a crowd of people who were there to condemn the white nationalists, who had rallied against Charlottesville officials' decision to remove a monument to Confederate Gen. Robert E. Lee.
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A Supreme Court pharma case deals consumers a big loss
Headline Legal News |
2017/08/12 08:32
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In the war being waged by large corporations against individual rights — and, yes, it is a war — a potentially decisive battle was recently fought. It will come as little surprise to any informed observer of American society that it was not the little guy who won.
The U.S. Supreme Court case of Bristol-Myers Squibb Co. vs. Superior Court of California, which was decided in favor of BMS in June, may seem like an arcane question of legal jurisdiction. It’s anything but.
The case centered on a drug called Plavix that BMS developed. Plavix, also known by its generic name, clopidogrel, is an anti-platelet used to prevent blood from clotting inside blood vessels. Ever since the drug was approved by the FDA in 1997, thousands of people have claimed that it caused them gastrointestinal bleeding, severe bleeding from relatively minor cuts, and even brain damage.
Even though the company had significant business activities in California, as well as sales of Plavix and other drugs, a contract with a California distributor to distribute Plavix nationally, and employed hundreds of people in the state, BMS argued that California state courts could not exercise “personal jurisdiction” over the company for claims brought on behalf of people who lived, used Plavix, and were allegedly injured by the drug outside of California.
The Supreme Court’s ruling in favor of BMS is a staggering blow for millions of Americans harmed each year by the reckless and abusive behavior of pharmaceutical companies. The decision raises an almost insurmountably high hurdle between victims and their hopes for obtaining justice in state courts throughout the country.
By foreclosing to plaintiffs’ state court venues other than those where these companies are “at home” — generally meaning where they are headquartered or incorporated — the Supreme Court has placed an almost impossible burden on state court litigants. They will now be forced to sue in far-off courts, convince experts to travel out of state to testify, and shuttle between their home states and wherever the drug company is at home. Their alternative will be pursing claims in federal court — but still also likely in a different state — where they will be subject to different laws, rules, and standards to prove their claims.
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Prosecutors ask court to imprison Samsung heir for 12 years
Headline Legal News |
2017/07/26 08:34
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South Korean prosecutors have recommended a 12-year jail term for Lee Jae-yong, 49-year-old billionaire heir of the Samsung business empire, urging a court to convict him of bribery and other crimes.
Lee, vice chairman of Samsung Electronics, became emotional Monday as he denied ever trying to seek political favors in his final remarks in the four-month-long trial. Lee was arrested in February amid a tumultuous corruption scandal that triggered months of massive public protests and culminated with the ouster of South Korea's president.
A panel of three judges at the Seoul Central District Court said they will hand down their verdict on Aug. 25.
Lee, princeling of South Korea's richest family and its biggest company, choked up during his final remarks, saying his ordeal was unjust but he had reflected during his six months in jail and realized that the bigger Samsung became, "the stricter and higher the expectations from the public and the society," a pool report from Monday's hearing said.
"Whether it was for my personal profit or for myself, I have never asked the president for any favors," he told the court.
In his remarks wrapping up the trial, Special Prosecutor Park Young Soo said Samsung's alleged bribery was typical of the corrupt and cozy ties between the South Korea's government and big businesses. Such dealings once helped fuel the country's rapid industrialization but now increasingly are viewed as illegal and unfair.
Park also accused Samsung officials of lying in their testimonies to protect Lee.
In past cases, South Korean courts have often given suspended prison terms to members of the founding families of the chaebol, the big, family-controlled businesses that dominate South Korea's economy. In some cases, presidents have pardoned them, citing their contributions to the national economy. But recent rulings on white collar crimes have shown less leniency. If convicted, Lee may be the first in his family to serve a prison term.
Lee was indicted in February on charges that included offering $38 million in bribes to four entities controlled by a friend of then-President Park Geun-hye, including a company in Germany set up to support equestrian training for the daughter of one of Park's friends, Choi Soon-sil.
Prosecutors alleged the bribes were offered in exchange for government help with a merger that strengthened Lee's control over Samsung at a crucial time for organizing a smooth leadership transition after his father fell ill.
Park was removed from office in March and is being tried separately. Her friend Choi also is on trial.
Lee has denied all charges. He has said he did not know of Choi or her daughter before the scandal grabbed national headlines and said Samsung's succession situation was not discussed during three meetings he held with the former president.
Samsung's lawyers do not contest having donated a large sum of money to the entities controlled by Choi. They disagreed with the prosecutors about the nature of the funds and insisted that at the time the donations were made Samsung was unaware that Choi controlled them. |
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