Samsung heir Jay Y Lee will not hand over the company to his children

Samsung’s deputy billionaire chairman, who is the son of former chairman Lee Kun-hee, made the announcement at a press conference in Seoul on Wednesday.

“I don’t plan to leave my role to my children,” Younger Lee, also known as Jay Y. Lee, told reporters.

“This is something I have been thinking about for a long time but are hesitant to express it openly. That is because not only is the business environment difficult, but I feel irresponsible to talk about succession issues when I myself have not been properly proven yet,” he added. His father became paralyzed from a heart attack in 2014.

Samsung is South Korea’s largest conglomerate. Its combined business is estimated to reach around 15% of the entire country’s economy. Samsung Electronics, the largest part of the group, is the world’s leading smartphone maker and an important supplier of memory chips and display screens.

Lee, who is that? jailed in 2017 after what many have called the “trial of the century,” also apologized for the flaws in his leadership at the company. He was convicted of bribery related to the company’s succession and the downfall of former South Korean President Park Geun-hye.

Lee on Wednesday acknowledged that Samsung “failed, sometimes, to meet people’s expectations.” He discussed some of the controversies that companies have faced in recent years, including disputes about the formation of trade unions and his own criminal court.

“It’s my fault,” Lee said. “I offer my sincere apologies.”

The executive’s statement came after Samsung’s independent compliance committee advised Lee to apologize for handling succession and manpower.

While Lee freed up from prison in 2018, his case gripped South Korea for months. It was part of a major influence peddling scandal that brought down President Park’s government.

Last August, the South Korean high court ordered retrial for Lee, reigniting the case and raising fears that technology offspring could be sent back to prison.

Lee’s comments came just days after Samsung warned investors about growing challenges for its business.

The company last week reported an increase in revenue and operating profit for the first quarter of this year, but also warned that the coming months would be painful when the coronavirus pandemic disrupted global supply chains, hurt smartphone demand and made it difficult to adopt 5G technology.

– Sherisse Pham contributed to this report.