Lee Jae-yong's 'unfair merger' second trial sentenced to five years in prison...Sentenced on February 3 next year.

The prosecution also demanded a five-year prison term and a fine of 500 million won in the appeal trial of Samsung Electronics Chairman Lee Jae-yong, who was put on trial on charges of unfair merger between Cheil Industries and Samsung C&T.

The Seoul High Court today held an appellate court hearing for Chairman Lee, who was indicted on charges of violating laws on capital markets and financial investment businesses, and former and current executives and employees of Samsung Group.

As in the first trial, the prosecution demanded five years in prison and a fine of 500 million won for Chairman Lee, and four and a half years in prison and 500 million won for Choi Ji-sung, former head of Samsung's Future Strategy Office, and Kim Jong-joong, former strategic team leader, respectively.

He also demanded a three-year prison term and a fine of 100 million won from the former deputy chief of the Future Strategy Office.

Prosecutors said the defendants damaged the foundation of the capital market for the succession of the group's head, pointing out that what the defendants eventually damaged was the justice of our economy and the constitutional values that underlie the capital market.

Chairman Lee's lawyers refuted the prosecution's claim, saying that the market's attention was focused on the merger, making it impossible to conceal the reality with false facts.

Lee also made a closing statement, saying he thought the merger would help the future of the two companies, stressing that he did not intend to take personal gains or hurt shareholders and deceive investors.

Chairman Lee and others were handed over to trial in September 2020 on charges of illegally participating in the merger process between Samsung C&T and Cheil Industries, but were acquitted in the first trial, and the prosecution appealed against it.

Chairman Lee and others will be sentenced on February 3rd next year.