Hyosung Heavy Industries, which was put on trial over bid rigging in a 670 billion won equipment tender ordered by Korea Electric Power Corporation (KEPCO), again denied the prosecution's charges at a pretrial hearing. HD Hyundai Electric, LS Electric and Iljin Electric, which were indicted together, also largely did not acknowledge the allegations.
The Seoul Central District Court Criminal Agreement Division 32 (Presiding Judge Ryu Kyung-jin) on the 27th held a pretrial hearing for Hyosung Heavy Industries, HD Hyundai Electric, LS Electric, Iljin Electric and each company's executives and employees, who were indicted on charges of violating the Monopoly Regulation and Fair Trade Act, and proceeded with confirming written opinions and organizing evidence.
Hyosung Heavy Industries denied the charges, saying the indictment itself was not specified, following the first pretrial hearing on the 27th of last month. A lawyer for Hyosung Heavy Industries said, "The indictment presupposes that the bid rigging in this case was fundamentally based on an agreement, but it does not even specify when or where the agreement was reached," and argued, "The composition for each individual bid is written as if it were carried out continuously and comprehensively under an overall agreement."
Iljin Electric also denied the indictment, saying the facts differ in some bids. It further argued that evidence collected in violation of attorney-client privilege during the search and seizure is included, so admissibility cannot be recognized. HD Hyundai Electric and LS Electric also said they largely deny the indictment.
Hyosung Heavy Industries also pointed out that among the evidence submitted by the prosecution, not a few materials are duplicated or not directly related to this case. In response, the court ordered the prosecution to separate and reorganize the list of evidence related to collusion and embezzlement, and to newly submit unclassified materials by dividing them into detailed categories.
The court set the next date for May 6 and decided to proceed with examining the witnesses called by the prosecution.
From March 2015 to September 2022, Hyosung Heavy Industries and others were indicted on charges of unfairly restricting competition by preselecting the expected winner and bid prices and then carrying that out in 145 bids for gas-insulated switchgear (GIS) ordered by Korea Electric Power Corporation (KEPCO). Prosecutors believe the four companies—Hyosung Heavy Industries, HD Hyundai Electric, LS Electric and Iljin Electric—led the collusion and gained the greatest economic benefit based on about a 90% market share in the relevant market.