The chairman of Hyundai Motor has been arrested on a warrant issued by the Seoul District Court in connection with bribery and embezzlement allegations, the prosecutor's office said. At a hearing Friday, South Korean prosecutors called for the arrest of Chung Mong-koo for allegedly creating an off-the-record-books slush fund to bribe politicians. They also accuse Chung, 68, of transferring family money to his son, Kia President Chung Eui-sun, so that the Chung family could keep control of the conglomerate. Korean media reported Chung's attorneys told judges that his arrest would have a detrimental impact on the Hyundai conglomerate's business operations, CNN reported. However, the senior judge in the case said the evidence presented warranted Chung's arrest. Chung has denied wrongdoing. Chung was at the courthouse where he was formally arrested. Officials in the prosecutor's office said he would be placed in detention while awaiting trial. That trial is expected some time in May.
