South Korea's Lotte Group chairman has apologized for the conglomerate's embezzlement scandal and pledged reforms to increase management transparency.
Shin Dong-bin spoke to reporters in Seoul on Tuesday. He was indicted this month on embezzlement and other charges without facing arrest.
Shin offered his deepest apologies for causing concern regarding the prosecutors' investigation, which he said came while the group's founding family was locked in a feud over management rights.
Shin said Lotte Group has failed to live up to the expectations of the people and society due to its authoritarian decision-making process.
He announced a set of reforms, including the creation of a compliance panel of outside experts. The panel will work to ensure that all the group's affiliates comply with the law. The practice of group firms holding stakes in each other will also be scrapped.
South Korean prosecutors have indicted 5 members of Lotte Group's founding family, including Chairman Shin, his elder brother, and their father and group founder. They are alleged to have unlawfully amassed about 146 billion won, or about 130 million dollars.