Former Daewoo Group Chairman Heo Jae-ho Returns to South Korea After 10 Years in Exile

Heo Jae-ho (83), the former chairman of Daewoo Group, has been forcibly returned to South Korea after spending a decade in New Zealand to evade tax evasion charges. On May 27, he was extradited through Incheon International Airport by the Gwangju District Prosecutors' Office. Heo was indicted in July 2019 for failing to pay over 500 million won in capital gains tax and 6.5 million won in income tax related to the sale of shares in Korea's Dongbu Fire & Marine Insurance, which were held under the names of three acquaintances between May and November 2007. His trial has been delayed for seven years due to his absence, citing health issues and the COVID-19 pandemic since he left for New Zealand in August 2015. In addition to the tax evasion case, Heo is also under investigation for multiple allegations, including embezzlement and breach of trust, involving over 10 billion won taken from Daewoo Group and transferred to a golf course in Damyang, Jeollanam-do. Previously, Heo had fled to New Zealand after being sentenced to pay a fine of 25.4 billion won for tax evasion amounting to 500 billion won. He returned to South Korea in 2014 but faced public outrage for receiving what was termed 'luxury labor' in a correctional facility, where his daily labor was valued at 5 million won. Following significant backlash, the prosecution halted his labor sentence, and Heo paid the remaining fine of 22.4 billion won after a six-day labor stint that reduced his penalty by 3 billion won.