South Korean business tycoon to pay record $1B divorce settlement
South Korean business magnate Chey Tae-won has been ordered by the Seoul High Court to pay his ex-wife, Roh So-young, a whopping 1.38 trillion Korean won (KRW) or nearly $1 billion, in cash. This ruling comes nearly a decade after their marriage ended due to Chey's extramarital affair and subsequent child with his mistress. The court ruled that Roh, daughter of former South Korean President Roh Tae-woo, was entitled to a portion of Chey's company shares.
Chey to appeal the decision
Chey, the chairman of SK Group conglomerate, plans to contest the court's decision. His legal team argues that the court accepted "Roh's one-sided claim as factual." The awarded sum to Roh is a significant increase from the KRW 66.5 billion settlement determined by a lower court in 2022. Previously, a family court had denied Roh's request for a share of Chey's SK holdings, but this decision was reversed by the High Court on Thursday.
Court recognizes Roh's contributions to SK Group
The High Court ruled that Chey's shares should be considered joint property, acknowledging Roh's role in the growth of SK Group. The court stated, "It was reasonable to rule that, as his wife, Roh played a role in increasing the value of SK Group and Chey's business activity". The court estimated Chey's wealth at around KRW 4 trillion, meaning Roh would receive approximately 35%. It also noted that Roh had assisted in overcoming regulatory barriers for Chey's business.
Chey's lawyers contest court's response
The court criticized Chey for showing "no signs of remorse for his foul behavior in the course of the trial... nor respect for monogamy." It also considered Roh's suffering due to Chey's extramarital affair while determining the new settlement amount. Despite this, Chey's lawyers argued that Roh's political connections were more hindrance than help to his business. Following the ruling, shares in SK Inc., a major semiconductor manufacturer with interests in telecoms, chemicals, and energy sectors, saw a 9% increase.
