Chung Mong-hun
Encyclopedia
Chung Mong-hun was the 5th son of Chung Ju-yung
, the founder of the South Korea
n Hyundai
conglomerate. After the death of his father, he took over part of his father's role and became the chairman of Hyundai Asan
, the company in charge of various business ventures between North and South Korea. He committed suicide
in 2003.
. He joined Hyundai Heavy Industries
in 1975, and became head of the group's shipping interests within six years. His management style and loyalty impressed his father, and he was placed in charge of the corporation's highly successful electronics ventures.
Nearing retirement, his father Chung Ju-yung named Mong-hun Hyundai group co-chair in late 1997. This angered the eldest son Chung Mong-koo
. In March 2000, Mong-koo made his boldest move: he tried to oust Mong-hun as group co-chairman while the latter was on a trip to Beijing and Shanghai. The patriarch, now 86, intervened. In another public drama played out on national TV, he pressed Mong-koo to let his younger brother be sole group chairman while he headed the car companies. He tried to oust Mong-hun in March, but his father made Mong-hun sole chairman instead. Mong-hun quit all Hyundai companies except Hyundai Asan.
In a surprise, on May 31, 2000, Kim Jae Soo, executive vice president and head of the group's restructuring unit, read a note that patriarch Chung Ju-yung had dictated that morning. In essence, the note said that he and his sons Mong-koo and Mong-hun were resigning from all managerial positions within the Hyundai group. This was in response to mounting pressure from the media, the public, and the government for a top-level revamp of the debt-troubled company. Chung Ju-yung was willing to oblige, but only if all his sons quit the group. Anyone left behind could lord over the professional managers appointed to run Hyundai.
Mong-koo, announced that he was not going to resign as chairman of Hyundai Motors Co. and Kia Motors Corp. On the contrary, Mong-hun dutifully announced his resignation from all but one of his positions in the chaebol, including the group chairmanship. The only post he kept was the chair of Hyundai Asan, which his father wanted him to continue running.
on charges of doctoring company books to hide the secret money transfers of hundreds of millions of dollars by the Kim Dae Jung
administration to North Korea
to set up the historic North-South presidential summit in 2000. Facing up to three years in prison and apparently shamed after he was forced to testify in court about the secret money transfer days earlier, he committed suicide on August 4, 2003 by leaping from his 12th floor office. Police claimed he left several suicide notes. He was reported to have apologized for his suicide, and claimed "everything is my fault". He had been accused of secretly transferring millions of dollars to the North Korea
n government. Buddhist monks presided over the last rites conducted during his funeral.
Chung Ju-yung
Chung Ju-yung was a South Korean businessman and the the founder of Hyundai Group.-Early life:Chung Ju-yung was born in Tongchon, Kangwŏn province , during a time when Korea was under Japanese rule. Born to a large impoverished family of peasants, he was the oldest out of six children...
, the founder of the South Korea
South Korea
The Republic of Korea , , is a sovereign state in East Asia, located on the southern portion of the Korean Peninsula. It is neighbored by the People's Republic of China to the west, Japan to the east, North Korea to the north, and the East China Sea and Republic of China to the south...
n Hyundai
Hyundai Group
Hyundai Group is a South Korean conglomerate founded by Chung Ju-yung. The first company in the group was founded in 1947 as a construction company. With government assistance, Chung and his family members rapidly expanded into various industries, eventually becoming South Korea's second biggest...
conglomerate. After the death of his father, he took over part of his father's role and became the chairman of Hyundai Asan
Hyundai Asan
Hyundai Asan is an arm of the South Korean conglomerate Hyundai Group and a major investor in North Korea. The company manages a number of projects, including the Kumgang-san tourist resort and road/rail building operations...
, the company in charge of various business ventures between North and South Korea. He committed suicide
Suicide
Suicide is the act of intentionally causing one's own death. Suicide is often committed out of despair or attributed to some underlying mental disorder, such as depression, bipolar disorder, schizophrenia, alcoholism, or drug abuse...
in 2003.
Professional career
Chung Mong-hun graduated with a degree in Korean literature from Yonsei UniversityYonsei University
Yonsei University is a Christian private research university, located in Seoul, South Korea. Established in 1885, it is one of the oldest universities in South Korea, the top private comprehensive universities in South Korea, and is widely regarded as one of the top three comprehensive...
. He joined Hyundai Heavy Industries
Hyundai Heavy Industries
Hyundai Heavy Industries Co., Ltd. is the world's largest shipbuilding company, headquartered in Ulsan, South Korea. The company is a subsidiary of Hyundai Heavy Industries Group...
in 1975, and became head of the group's shipping interests within six years. His management style and loyalty impressed his father, and he was placed in charge of the corporation's highly successful electronics ventures.
Nearing retirement, his father Chung Ju-yung named Mong-hun Hyundai group co-chair in late 1997. This angered the eldest son Chung Mong-koo
Chung Mong-koo
Chung Mong Koo is the chairman of Hyundai Motor Group, the largest carmaker in South Korea. The Hyundai Motor Group is consist of 42 subsidiaries and it is second largest Chaebol in South Korea...
. In March 2000, Mong-koo made his boldest move: he tried to oust Mong-hun as group co-chairman while the latter was on a trip to Beijing and Shanghai. The patriarch, now 86, intervened. In another public drama played out on national TV, he pressed Mong-koo to let his younger brother be sole group chairman while he headed the car companies. He tried to oust Mong-hun in March, but his father made Mong-hun sole chairman instead. Mong-hun quit all Hyundai companies except Hyundai Asan.
In a surprise, on May 31, 2000, Kim Jae Soo, executive vice president and head of the group's restructuring unit, read a note that patriarch Chung Ju-yung had dictated that morning. In essence, the note said that he and his sons Mong-koo and Mong-hun were resigning from all managerial positions within the Hyundai group. This was in response to mounting pressure from the media, the public, and the government for a top-level revamp of the debt-troubled company. Chung Ju-yung was willing to oblige, but only if all his sons quit the group. Anyone left behind could lord over the professional managers appointed to run Hyundai.
Mong-koo, announced that he was not going to resign as chairman of Hyundai Motors Co. and Kia Motors Corp. On the contrary, Mong-hun dutifully announced his resignation from all but one of his positions in the chaebol, including the group chairmanship. The only post he kept was the chair of Hyundai Asan, which his father wanted him to continue running.
Scandal and suicide
Chung was indicted in June 2003 for his role in the Cash-for-summit scandalCash-for-summit scandal
Cash-for-summit is the name of a political scandal that broke in February 2003 in South Korea and revolved around the secret payment by the Kim Dae-jung administration to North Korea of millions of dollars to secure the landmark June 2000 North-South summit between the two Koreas.In 2000, South...
on charges of doctoring company books to hide the secret money transfers of hundreds of millions of dollars by the Kim Dae Jung
Kim Dae Jung
Kim Dae-jung was President of South Korea from 1998 to 2003, and the 2000 Nobel Peace Prize recipient. He came to be called the "Nelson Mandela of Asia" for his long-standing opposition to authoritarian rule.-Early life:...
administration to North Korea
North Korea
The Democratic People’s Republic of Korea , , is a country in East Asia, occupying the northern half of the Korean Peninsula. Its capital and largest city is Pyongyang. The Korean Demilitarized Zone serves as the buffer zone between North Korea and South Korea...
to set up the historic North-South presidential summit in 2000. Facing up to three years in prison and apparently shamed after he was forced to testify in court about the secret money transfer days earlier, he committed suicide on August 4, 2003 by leaping from his 12th floor office. Police claimed he left several suicide notes. He was reported to have apologized for his suicide, and claimed "everything is my fault". He had been accused of secretly transferring millions of dollars to the North Korea
North Korea
The Democratic People’s Republic of Korea , , is a country in East Asia, occupying the northern half of the Korean Peninsula. Its capital and largest city is Pyongyang. The Korean Demilitarized Zone serves as the buffer zone between North Korea and South Korea...
n government. Buddhist monks presided over the last rites conducted during his funeral.