Chairman Cho Dong-gil, Who Inherited the Family Business, Outperforms His Older Brother

[Korea Financial Times, Shin Haeju] Chairman Cho Dong-gil of Hansol Group received a total remuneration of KRW 5,879 million last year. Chairman Cho Dong-hyuk of Hansol Chemical received KRW 2,167 million.

Both are sons of the late Lee In-hee, the former advisor who founded Hansol Group and the eldest daughter of the late Lee Byung-chul, the founder of Samsung. Cho Dong-hyuk is the eldest son, and Cho Dong-gil is the third son. The second son, Vice Chairman Cho Dong-man, left Hansol Group in the early 2000s after splitting off his affiliated companies.

According to the Financial Supervisory Service’s electronic disclosure system, Chairman Cho Dong-gil last year received KRW 1,002 million from Hansol Holdings, KRW 3,950 million from Hansol Paper, and KRW 927 million from Hansol Technics.
Although Chairman Cho Dong-hyuk is a non-registered director at Hansol Chemical, he received KRW 2,167 million from the company last year.

Hansol Group was established in 1991 when the late advisor Lee In-hee separated Jeonju Paper from Samsung. At that time, her three sons, who had been working at Samsung affiliates, gathered at Hansol, and from 1997, all three brothers served as vice chairmen and participated in management.

Eldest son Cho Dong-hyuk entered the finance industry based on his experience at Samsung C&T and Kangbuk Samsung Hospital. Second son, former Vice Chairman Cho Dong-man, led the information technology (IT) division and spearheaded the personal communication service (PCS) business.

The third son, Cho Dong-gil, was the first among the brothers to join Hansol. After working at Samsung C&T and J.P. Morgan, he began his management training as head of planning at Jeonju Paper in 1987.

Initially, the three brothers jointly managed the group, but at the end of 2001, Hansol Group shifted to a single-leader system under Chairman Cho Dong-gil. After the previous financial crisis, the finance and IT sectors faced difficulties, causing the eldest and second sons to move away from succession.

An industry insider commented, “The eldest and second sons chose finance and IT, which seemed more promising than the paper business, but ultimately did not achieve their goals. As a result, the youngest, Chairman Cho Dong-gil, naturally inherited the family business and now leads Hansol Group.”

Shin Haeju (hjs0509@fntimes.com)