Prosecutors raid SPC Group headquarters on claims of unfair business practices

조정우 2022. 11. 8. 15:23
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Prosecutors raided the headquarters of SPC Group and the office of its affiliates on Tuesday to look for evidence that the company violated a law that bans unfair business practices among the group’s affiliates.
SPC

Prosecutors raided the headquarters of SPC Group and the office of its affiliates on Tuesday to look for evidence that the company violated a law that bans unfair business practices among the group’s affiliates.

The prosecution is also investigating the alleged dereliction of duty by the group’s management.

Prosecutors suspect that the management violated the law to benefit SPC Group Chairman Hur Young-in’s children so they could take the wheel of the group.

Affiliates of SPC allegedly helped the group's only listed affiliate, SPC Samlip, earn 41.4 billion won ($29.3 million) between 2011 and 2018 by unfairly awarding contracts to it, according to prosecutors.

In 2020, the country's antitrust regulator fined SPC Group 67.4 billion won for the alleged violation.

The regulators also referred three people in top management positions of SPC, including Chairman Hur Young-in, to prosecutors for further investigation. They will be summoned in order, according to the prosecution.

SPC Group is the operator of the country’s top bakery brand, Paris Baguette. The company came under fire after a worker died at a bread factory owned by its affiliate SPL on Oct. 15.

BY CHO JUNG-WOO, YONHAP [cho.jungwoo1@joongang.co.kr]

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