Nat’l pension fund files damages suit against Samsung chairman over merger case

South Korea's national pension fund said Tuesday it has filed a lawsuit against Samsung Electronics Co. Chairman Lee Jae-yong with a Seoul court seeking compensation over losses incurred from a controversial merger of two Samsung affiliates. In the suit filed with the Seoul Central District Court on Sept. 13, the National Pension Service (NPS) demanded 501 million won (US$375,618) over losses incurred during the controversial merger of Samsung C and T Corp. and Cheil Industries Inc. in 2015. In addition to Lee, the NPS also sought compensation from Samsung C and T, as well as individuals including former top Samsung executives and a health minister. With an 11.21 percent stake, the NPS was a major shareholder of Samsung C and T, the de facto holding firm of Samsung Group, at the time of the merger, which was seen as crucial to Lee's taking control of the conglomerate. A special counsel probe into the merger found that a ratio of 0.35 Cheil shares was offered for every one Samsung CT and T share and that the NPS cast its vote in favor of the merger due to pressure from the former Park Geun-hye administration. Source: Yonhap News Agency