FAMILY BUSINESS ROUNDUP

Prosecutors to question Lotte Group founder

State prosecutors in South Korea will visit Lotte Group founder Shin Kyuk ho to assess his health condition and decide how best to question the 93-year-old on allegations of tax evasion.

The Lotte Group has been accused of running slush funds worth at least 56 billion won ($50 million) at Lotte Engineering and Construction and restricting business opportunities to the group’s affiliates, according to Korea Joongang Daily.

Swatch first-half profit declines to lowest level in nearly a decade

Swiss watchmaker Swatch, owned by the Hayek family, reported its lowest first-half profit in seven years amid a challenging time for luxury goods.

According to a company statement, first-half operating profit declined 54% to CHF353 million ($359 million) but said it expects “clear growth” in the second half of the year. Swatch said July 15 that revenue fell about 12%.

Lotte second-gen summoned to prosecutors’ office

Shin Young-ja, the chairwoman of the Lotte Scholarship Foundation, appeared at the Seoul Central Prosecutors’ Office today over allegations that she received bribes.

The 74-year-old is accused of accepting bribes from the former chief of cosmetics brand Nature Republic in exchange for store space in Lotte’s duty-free outlets.

Bechtel names 35-year-old as new chief executive

Bechtel Corporation, one of the largest family businesses in the US, has named fifth-generation Brendan Bechtel as its new chief executive.

The 35-year-old will replace Bill Dudley, who became the first non-family CEO to run the business after Brendan’s father, Riley Bechtel, was diagnosed with Parkinson’s disease two years ago.