South Korea’s Supreme Court has officially upheld a two-year prison sentence for **Cho Hyun-bum**, the prominent chair of leading **auto parts and tire manufacturer**, **Hankook & Co. Group**. This final ruling confirms his conviction for **embezzlement of company funds** and **breach of trust**, marking a significant development in the high-profile case.
The nation’s highest judicial body confirmed the lower court’s decision, affirming **Cho Hyun-bum’s** two-year imprisonment for grave violations of the Act on the Aggravated Punishment of Specific Economic Crimes. These offenses primarily involve **corporate embezzlement** and **breach of trust** within the **Hankook & Co.** conglomerate.
While prosecutors initially sought to prove **Cho Hyun-bum’s** involvement in extensive **corporate misappropriation** and **embezzlement** amounting to approximately 20.8 billion won (around $14.2 million), the courts ultimately convicted him on a smaller fraction of the charges. His criminal liability was established at roughly 2 billion won, with **Cho** being acquitted on numerous other significant allegations.
Notably, among the allegations dismissed was the claim that **Cho Hyun-bum** had illicitly loaned 5 billion won from **Hankook & Co.** affiliate MKT to **auto parts-maker** Leehan for personal gain, despite knowing Leehan’s precarious financial health. The appeals court specifically overturned the lower court’s initial guilty verdict concerning this particular charge.
Furthermore, the courts acquitted **Cho Hyun-bum** of accusations that he orchestrated **Hankook Tire**, a vital subsidiary of **Hankook & Co. Group**, to acquire tire molds from MKT at excessively inflated prices between 2014 and 2017. These transactions, estimated at 887.5 billion won, were alleged to have caused 13.1 billion won in losses for **Hankook Tire** while illicitly enriching MKT.
Conversely, both lower courts consistently found **Cho Hyun-bum** guilty on multiple charges related to the egregious **misuse of company funds for personal benefit**. These included unauthorized use of **corporate money** for personal moving expenses and furniture acquisitions. He was also convicted for utilizing **Hankook & Co.’s** corporate budget to cover his wife’s chauffeur’s salary and for the unauthorized private use of company vehicles.
The judiciary also convicted **Cho Hyun-bum** for **breach of trust** stemming from allegations that an associate supplied free apartments to individuals at **Cho’s** direction, presumably in return for **business favors**. Additionally, **Cho** was found guilty of illicitly using **Hankook & Co.** affiliate corporate cards to finance approximately 580 million won in personal expenditures for himself and his close associates.
This definitive **Supreme Court ruling** concludes a protracted legal battle that began over three years ago when **Cho Hyun-bum** was first arrested and charged by prosecutors in May 2023. Although granted bail later that year after posting a 500 million won bond, he faced re-arrest in May 2025 following a district court’s initial three-year prison sentence, which an appeals court later reduced to the final two-year term.
It is worth noting that **Cho Hyun-bum** also has a prior conviction in a separate **bribery and embezzlement case**. This earlier legal matter involved accusations that he received illicit kickbacks from a **business partner** during his tenure as head of **Hankook Tire**. In that instance, he received a suspended sentence, which was subsequently affirmed on appeal, adding to his record of **corporate misconduct**.
sahn
