Lotte founder appears in court to prove his health
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The 93-year-old founder of South Korean retail giant Lotte Group walked into a court hearing on Wednesday to prove that he still remains healthy, which has emerged as a critical factor in the bitter family feud between his two sons.
Shin Kyuk-ho appeared at the Seoul Family Court after his younger sister claimed her aging brother is no longer capable of making consistent decisions, requesting the court to pick her as his legal guardian.
The gaunt tycoon claimed his mental competency is the same as in his 50s during an hour-long hearing and exited the court in a wheelchair, his lawyer told reporters, without elaborating on details.
Shin Kyuk-ho, a 93-year-old founder of South Korean retail giant Lotte Group, enters a Seoul court on Feb. 3, 2015, for a hearing on his legal guardian. (Yonhap)
His lawyer said Shin will go through physical check-ups and ask for the court’s decision on whether he needs a legal guardian.
After a months-long succession feud, Shin’s second son, Dong-bin, took control of the nation’s fifth-largest conglomerate last year. His older brother, Dong-joo, was stripped from the company’s senior posts, but he has claimed that his father chose himself as the legitimate successor for the group.
Dong-bin has claimed that his father is unable to make reasonable judgments due to mental health problems.
The founder and his family members have come under fire for exerting uncontrolled power over the business empire with a meager stake, tarnishing the corporate image with the nasty succession fight.
South Korea’s antitrust watchdog said Monday that the founder and immediate family members of Lotte Group own just 2.4 percent of a stake in the businesses they run, which include food, leisure, construction and chemical businesses.
The group initially began as a small confectionery business in Japan before it built up operations in South Korea. At present, the bulk of the group’s business comes from South Korea, with Shin and key family members all holding South Korean citizenship.
Questions & Answers
Q.Why is Shin Kyuk-ho's health being questioned in court?
Why is Shin Kyuk-ho's health being questioned in court?
His younger sister claimed he is no longer capable of making consistent decisions and requested the court appoint her as his legal guardian. His second son, Dong-bin, also stated his father cannot make reasonable judgments due to mental health issues.
Q.What is the reason for the family dispute over Lotte Group leadership?
What is the reason for the family dispute over Lotte Group leadership?
A bitter family feud exists between Shin Kyuk-ho's two sons over succession. The older brother, Dong-joo, claims his father chose him, while the younger son, Dong-bin, took control last year.
Q.How much ownership do the founder and his family have in Lotte Group?
How much ownership do the founder and his family have in Lotte Group?
The founder and immediate family members of Lotte Group collectively own just 2.4 percent of a stake in the businesses they run. This has led to criticism regarding their uncontrolled power.
Q.Where did the Lotte Group business originally start?
Where did the Lotte Group business originally start?
The Lotte Group initially began as a small confectionery business in Japan. It later built up operations in South Korea, from where the bulk of the group's business now comes.