A conflict between brothers in the Hyosung family that has dragged on for more than 10 years clashed again in court. Hyosung Chairman Cho Hyun-joon took the stand as a witness at the trial of his younger brother, former Hyosung(004800) Vice President Cho Hyun-moon, who is charged with attempted coercion, and said he wants punishment. It was the first time the two faced each other in court since the so-called "Hyosung brothers' feud" erupted in 2014.
On the 21st, Judge Lee Sung-yeol of the Seoul Central District Court's Criminal Division 25 single-judge panel held a hearing in the attempted coercion case against the former vice president and conducted witness examination of the chairman.
◇ Press release demanding "contribution to company growth"… Cho Hyun-joon says "not true"
Prosecutors take issue with the process in 2013 in which the former vice president demanded that the company issue a press release positively assessing his management performance. Prosecutors believe that after he suspected the chairman's side of spreading a rumor about his spouse's alleged affair, he resigned and clashed with the family, pressuring them to apologize and distribute the press release.
The chairman testified that the content slated for the press release itself was not true. When prosecutors asked whether a phrase to the effect that "Cho Hyun-moon made major contributions to the company's development and enhanced the competitiveness of the heavy industry division, contributing to long-term growth" matched objective facts, he answered, "It does not."
He added, "It was also when former Vice President Cho Hyun-moon was there that the heavy industry division was nearly wrecked," and said, "Because he kept attacking us, we felt no gratitude."
He also drew a line at language to the effect that "the former vice president's resignation was a loss for the company and regrettable." The chairman said, "I have never thought that at all," adding, "If it had not been a coercive demand, we could not have put out that content on our own."
◇ "It sounded like a threat to 'go to Seocho-dong'… I want my younger brother punished"
Prosecutors also questioned whether the former vice president's side pressured them with the implication that, if the demand for an apology was not accepted, they would report wrongdoing to investigative authorities. The chairman said he heard from Park Soo-hwan, former head of News Communications who handled media responses for the former vice president, and others words to the effect of "if you don't apologize, we will go to Seocho-dong," adding, "It could not help but sound like a threat."
He also denied the claim that the chairman's side created the rumor about the spouse. The chairman said, "We have never made such a tip sheet," adding, "If they really wanted, they could go directly to the police station and find out who wrote it, so I could not understand why they were coercively demanding an apology from us."
During cross-examination, the former vice president's side also challenged the evidentiary value of the press release presented by prosecutors. They objected on the grounds that it was evidence collected illegally and therefore should not be read in court. The court, noting that the two sides were disputing the legality of the material and that it was necessary to check the content, continued the questioning.
At the end of the examination, the chairman made clear he wants his younger brother punished. He said, "I sincerely hope we each go our separate ways now," adding, "The reason this trial came about is that I don't want our family to be harassed any longer with complaints and accusations."
The former vice president was also accused of threatening the chairman by saying he would submit materials related to the company's illegal acts to prosecutors unless unlisted shares were bought at a high price, but prosecutors did not indict on that part.