- Chey Tae-won owes ex-wife Roh So-young $1 billion after she left him
- They divorced after he revealed that he had a child with another woman.
- He owes her $1 billion, after an appeals court doubled the amount he owes her.
A South Korean tycoon could lose control of one of the country’s largest companies after a court ordered him to pay $1 billion to his ex-wife after cheating on her, the largest divorce settlement the nation has ever seen. .
Appeal judges in Seoul more than doubled the amount of money Chey Tae-won, chairman of conglomerate SK Group, owes Roh So-young, the daughter of a former president.
The couple, both 63, met while they were students at the University of Chicago, married in 1988 and had a son and two daughters together.
They began divorce proceedings in 2017, two years after Chey revealed that he had a child out of wedlock with another woman.
The court ruled that the business leader’s marriage to the family of late President Roh Tae-woo, who led South Korea from 1988 to 1993, benefited him and his company, South Korea’s second largest after Samsung.
Appeal judges in Seoul more than doubled the amount of money Chey Tae-won, chairman of conglomerate SK Group, (pictured) owes his ex-wife.
Chey’s divorce from Roh So-young (pictured), daughter of a former president, has resulted in the largest settlement in South Korean history.
As a result, Chey had to pay more than a lower court initially ruled.
The ruling said: “It was reasonable to rule that, as his wife, Roh played a role in increasing the value of SK Group and Chey’s business.
“(He) shows no sign of remorse for his bad behavior during the trial…nor respect for monogamy.”
Chey has to pay Roh 1.38 trillion won as part of the property division and a total of 2 billion won in alimony, or $1 billion in total.
The news has gripped South Korea, with one newspaper claiming that interest payments alone are likely to amount to more than £109,000 a day.
To pay for the initial deal, he will have to cash in on shares worth at least £1.09bn, diluting his stake in SK Group from 18% to 3%.
Chey said after the ruling: “I remain steadfast in my belief that the judgment of the judiciary must be respected, but I cannot help but express my regret at this ruling that denies SK’s growth story.”
His lawyers said they will take the case to the country’s Supreme Court, which could take up to three years, increasing interest to the amount he is owed if his final bid fails.
SK Group is South Korea’s second-largest industrial conglomerate, or chaebol.
It has its tentacles in many industries, including oil, semiconductors, chemicals, computing, and telephone networks.