Genesis BBQ Group Chairman Yoon Hong-geun was sentenced to a fine of 30 million KRW in the first trial for causing losses to the group by lending funds to a privately owned company facing financial difficulties.
The Suwon District Court's Seongnam Branch Criminal Division 2 (Presiding Judge Lee Jin-hyuk) on the 17th sentenced Chairman Yoon to a fine of 30 million KRW for charges of breach of trust under the Act on the Aggravated Punishment of Specific Economic Crimes, acknowledging part of the breach of trust allegations.
The court ruled that for 210 million KRW of the charges, "Chairman Yoon caused losses to Genesis BBQ by supporting funds to a company that was not qualified."
However, the court stated that it was difficult to recognize the intent to breach trust for the remaining 4.1 billion KRW.
This was primarily due to the fact that Company J was operated within the group like an affiliate, pursuing joint interests.
Chairman Yoon was indicted without detention last year on charges of lending Genesis BBQ Group funds to his privately owned Company J from 2013 to 2016, and failing to take sufficient steps to recover the funds, causing financial losses to the group.
Company J is a privately owned company in which Yoon's family holds 100% of the shares, and it was later sold due to reasons such as capital erosion.
The investigation into this case began when BHC Chicken filed a complaint against Chairman Yoon for breach of trust in 2021. After a police investigation, a decision was made not to forward the case, but BHC’s appeal was accepted, leading the prosecution to conduct a reinvestigation, which resulted in Yoon being brought to trial.
Genesis BBQ Group said immediately after the ruling, "While we welcome the fact that most of the breach of trust charges were found not guilty, it is regrettable that there was a guilty verdict regarding the 210 million KRW."
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Genesis BBQ Group Chairman Yoon Hong-geun sentenced to a fine of 30 million KRW for breach of trust.
Genesis BBQ Group Chairman Yoon Hong-geun was sentenced to a fine of 30 million KRW in the first trial for causing losses to the group by lending funds to a pr
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