Yulsan Group
Yulsan Group was a South Korean chaebol active from 1975 to 1979 and notable for the scandal surrounding its demise.
History
Foundation
Yulsan Group was founded on 17 June 1975 by as an exporter of construction materials. Its first primary business was the export of building materials to the Middle East.Collapse
In 1978, Yulsan was convicted of violating Saudi Arabian law regarding the prohibition of wholesale or retail activities by foreigners, with the resulting fine causing severe damage to Yulsan's financial position. In addition, the South Korean government enacted a ban on cement exports as an inflation reduction measure.Shin Sun-Ho was arrested on 4 April 1979 on charges of embezzlement and violations of the Foreign Exchange Control Act. Shin was accused of faking documents in order to secure bank loans. Furthermore, he was believed to have been assisted by influential members of the government. Afterwards, the group was liquidated.