SK Group chairman claims ‘critical error’ in his divorce ruling

SEOUL, SK Group Chairman Chey Tae-won said Monday he has decided to appeal a record divorce ruling, which threatens his grip on the telecom-to-energy conglomerate, to the Supreme Court because there was a "critical error" in the calculation of his estranged wife's contribution to the group's growth. Last month, an appellate court ordered Chey to pay 1.38 trillion won (US$1 billion) in property division to his wife, Roh So-young, the only daughter of former President Roh Tae-woo. The couple married in 1988 and have three children. The court determined the combined property of Chey and Roh to be 4 trillion won, with a division rate of 65 percent for Chey and 35 percent for Roh. The court ordered Chey to pay the divided sum in cash. "I know we have to respect the judiciary decision, but I've decided to appeal because there are a few reasons," Chey said in a press briefing. "There is an objective, clear error in the court's calculation of the property division." He said the error is "critical" as it pertains to whether his stocks are subject to the division and how much they are worth. And he also said he had to make the decision to correct the court's statement that SK Group has grown on the back of illegal funds from the Roh administration and its privileges. "The ruling has undermined the reputation and pride of all members of SK Group, as well as mine," Chey said. Chey made his first attendance related to the case at a press event following the court ruling on May 30. He said he attended the press briefing to make a public apology in person, following the first one on June 3. "I apologized for the distress that my personal matter has caused to the Korean people," he said. "I just thought it was right to apologize in person." If the ordered amount is divided as the appellate court ruled, it could shake up the governance of SK Group, the second-largest conglomerate in Korea, as he might have to raise the money by selling his stake in SK Inc., the holding company of SK Group, which includes SK Telecom Co., SK Innovation Co. and SK Square Co. Chey is the largest shareholder of SK, holding 17.73 percent, worth 2.2 trillion won, through which he controls other SK Group affiliates. "I will do my best to do my job despite the court ruling," he said. Source: Yonhap News Agency