Prosecutors raid KT on suspected unfair business practice

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Prosecutors raid KT on suspected unfair business practice

Published: 16 May. 2023, 11:29

KT office building in Jongno District, central Seoul [YONHAP]

Prosecutors raided KT headquarters office and related companies Tuesday over alleged favoritism in choosing a subcontractor for its subsidiary.

The move follows a civic group’s complaint in March alleging that KT’s former CEO Ku Hyeon-mo illegally favored KT subsidiary KDFS when choosing a building operator for KT Telecop, a security company 80.79 percent owned by KT.

KT denied the allegation, saying that it was not involved in the decision-making process to choose the operator.

The prosecutors are also looking into allegations that Ku had bribed its board directors.

Ku initially intended to run for a second term but stepped down from the post in March following political pressures.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]