Samsung Group Chief Jay Y. Lee arrested in alleged corruption involvement

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While Lee’s detention is not expected to hamper day-to-day operation of Samsung firms, which are run by professional managers, experts said it could hinder strategic decision-making at South Korea’s biggest conglomerate, or chaebol.

Samsung has been in the midst of an ongoing restructuring to clear a succession path for Lee to assume control after his father was incapacitated by a heart attack in 2014.

Decisions that could be complicated by Lee’s arrest include deliberations over whether to reorganize the group under a holding company structure, as well as its plan to abandon its future strategy office, a central decision-making body that came in for criticism during the scandal.

Staff moves have also been in limbo. Samsung, which employs more than 250,000 people, has yet to announce annual personnel promotions and changes, which it typically does in December.

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