Multiple investigations are now underway into one of Korea's biggest conglomerates,... Lotte Group.<br />The group's cloudy corporate structure and allegations of possible tax evasion were all brought to light by the recent feud within the founder's family. <br />Shin Se-min reports. <br />A thorough investigation into retail giant Lotte Group is picking up a head of steam.<br />Korea's Fair Trade Commission and the Financial Supervisory Service have separately requested Lotte Group provide them with related information.<br />They are looking into Lotte's complicated governing structure and possible tax evasion, in light of the nasty family feud within the founder's family. <br />On top of that, the National Tax Service has been leading an investigation into Daehong Communications, the group's affiliated advertisement firm.<br />But Lotte Group has claimed that probe is a separate issue,… as it began last month, before the family feud kicked off. <br />The NTS is believed to be studying related data on the group's advertisement arm,... as Lotte Hotel, the de facto holding company of the group's Korean business units,... owns a controlling stake of 12-point-eight percent in the firm. <br />The tax agency's probe has led to speculation the NTS may be looking into other parts of Korea's eighth-largest conglomerate,... not just the communications firm. <br /><br />Lotte Group's recent revelation of its opaque governance structure could even lead to the creation of a new law. <br />The main opposition New Politics Alliance for Democracy and a dozen other minor party members have proposed a bill called the "Lotte Law."<br />It would be aimed at stopping conglomerates from seeking loopholes in cross-shareholdings through controlling overseas affiliates. <br />Shin Se-min, Arirang News.
