Executive not indicted on charges of embezzling 1.8 billion won of company money... Explanation for raising funds under the instructions of the operator

A corporate executive who was accused of embezzling 1.8 billion won in company money was cleared of charges by the prosecution.

According to the legal community on the 11th, the Daegu District Prosecutors' Office decided not to indict Mr. A, a man in his 40s, who was sent on charges of embezzlement under the Aggravated Punishment Act for Specific Economic Crimes. Mr. A was accused of embezzling 1.8 billion won while working as a co-CEO at a manufacturing company run by Mr. B, who is in his 40s, from 2014 to 2019.

Mr. B claimed that Mr. A received a false tax invoice from a paper company, remitted the company's money, and received it back in his personal account without actually transacting goods. In response to this, Mr. A claimed that although it was true that he had raised funds using false tax invoices, it was for the company to give rebates to major clients, and that it was all done under Mr. B's instructions and approval.

The prosecution confirmed that the funds raised were actually delivered in cash to the person in charge of the customer, and ruled that Mr. A was not guilty as there was no personally useful evidence. In addition, it was determined that Mr. A was not guilty, as Mr. B received a notification message when transferring company funds and was aware of the fund flow by directly managing the OTP.

Attorney Shin Min-soo of Daeryun Law Firm, who represented Mr. A, explained, "For a charge of embezzlement to be established, the intention to illegally acquire property by disposing of it as if it were one's own must be proven. In this case, Mr. B sued Mr. A to protect his business interests by shifting responsibility for the rebate conflict that arose between customers, and he was able to get rid of the charges by objectively proving that the funds raised by Mr. A were used for the company's business profits."

Reporter Jeong Cheol-wook

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