Chung Mong-koo (; born 19 March 1938, in Kangwon Province) is a South Korean business magnate. He is the honorary chairman and former CEO of Hyundai Motor Group, Korea's second largest chaebol that manages 54 subsidiaries including Hyundai Motor, Kia Motors, and Hyundai Steel. He started his career in 1970, joining the engineering & construction division of the group. Chung succeeded his father, Chung Ju-yung, the founder of the conglomerate known as the Hyundai Group. When the conglomerate split into several parts in 1999, Chung Mong-koo took over the Hyundai Motor division. He is the eldest surviving son of Chung Ju-yung's eight sons.
He is among the richest people in South Korea. In December 2024, Forbes estimated his net worth at US$4 billion and ranked him 5th richest person in the country.
He was convicted of embezzlement and breach of fiduciary duty in February 2007,
Management
Chung is described as a "vigorous septuagenarian" who comes to work at 6:30 a.m. and "personally heads monthly quality reviews with senior executives".
Although he only holds 5.2% of Hyundai Motor's stock, Chung "wields disproportionately strong control" and is able to control its board thanks to a complex corporate governance arrangements in which Hyundai Motor owns 34% of Kia, which owns 16.9% of Mobis, which in turn owns 20.8% of Hyundai Motor. This means that "because the companies essentially control each other, no outside shareholder is strong enough to name board members".
Despite a travel ban, Chung left South Korea in April 2006. Chung was arrested on 28 April 2006 on charges related to embezzlement and other corruption.
On 5 February 2007 he was convicted of embezzlement and breach of fiduciary duty for selling securities to his son Chung Eui-sun at below-market prices. He was sentenced to three years in prison.
Chung remained free on bail while he appealed the sentence.
On September 6, 2007, Chief Judge Lee Jae-hong ruled to suspend the sentence of Chung Mong-koo (in consideration of the huge economic impact of imprisonment), ordering instead of a 3-year jail term,
community service and a $1 billion<!-- The BBC article doesn't say the amount. --> donation to charity.
The trial was seen as "a victory for transparency and rule of law in South Korea", but on August 15, 2008, South Korean President Lee Myung-bak granted him a special pardon to allow Chung to continue to contribute to the development of Hyundai Motor Group as well as the Korean economy.
Awards and honors
- 2020: Automotive Hall of Fame
- 2009: James A. Van Fleet Award, The Korea Society
- 2008–present: Honorary Chairman of the Organizing Committee for the Expo 2012 in Yeosu
- 2004: Inchon Award
- 2001: Awarded Distinguished Service Citation by Detroit's Automotive Hall of Fame
- 1997–present: Honorary Vice President of World Archery Federation
- 1986–1997: Chairman of Asia Archery Association
- 1985–1997: Chairman of Korea Archery Association
Family
See also
- Automotive industry in South Korea