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South Korea police raid Korean Air headquarters in embezzlement probe

  • South Korean police raided the headquarters of Korean Air Lines on Friday as part of an investigation into embezzlement and breach of trust, a police official said
Korean Air Lines Co. Boeing Co. freighters
SeongJoon Cho | Bloomberg | Getty Images
Korean Air Lines Co. Boeing Co. freighters

South Korean police said on Friday it raided the headquarters of Korean Air Lines Co. Ltd. as part of an investigation into embezzlement and breach of trust.

A police official said it was a probe into allegations that company funds were used to pay for construction work at the home of Korean Air Chairman Cho Yang-ho. But he added that the investigation has not yet determined who the suspects were.

A Korean Air spokesman declined to comment. The firm's shares extended losses on the news to be down 3 percent as of 0524 GMT.