Hyundai Scion to Run for Seoul Mayor

Chung Mong-joon Chung Mong-joon

Saenuri Party lawmaker and Hyundai scion Chung Mong-joon on Wednesday announced that he will run for Seoul mayor. This could lead to changes in the management structure of Hyundai Heavy Industries, where Chung is one of the largest shareholders.

Under the regulations, Chung will have to sell his 10.5 percent stake in Hyundai Heavy Industries if he is elected.

If the total value of stocks held by a high-ranking official and their immediate family exceed W30 million, they must either sell or put them in a blind trust. The rule applies to ministers, vice ministers, and senior civil servants in the Ministry of Strategy and Finance and Financial Supervisory Service.

If the committee under the Ministry of Security and Public Administration believes that Chung's position can influence the fortunes of Hyundai Heavy Industries, he will have to sell or put them in a blind trust within 90 days of his inauguration.

Political sources believe Chung will donate his shares to a non-profit foundation within the Hyundai Group when he runs for the candidacy in the party.

englishnews@chosun.com / Feb. 27, 2014 12:16 KST