Creditor banks step up pressure on LG Group patriarch
AFP, November, 2003
 | Content provided in partnership with |  |
SEOUL (AFP) — Creditors stepped up pressure on the patriarch of South Korea's second largest conglomerate LG Group, warning the group's ailing credit card unit could be insolvent this week.
The warning came as group chairman Koo Bon-Moo remained relucant to make a personal debt guarantee in return for emergency loans from creditors to LG Card, bank officials said.
The group promised to rescue the country's largest credit card company through a capital expansion plan, calling for a two trillion won (1.67 billion billion dollars) bailout.
Koo offered his 5.46 percent stake in the group's holding company LG Corp. as collateral.
- Most Popular Articles in News
- The Ten Best Laptop bags
- Tata plans cheapest-ever car for Indian market
- GLOBALIZATION AND THE DEVELOPMENT OF UNDERDEVELOPMENT OF THE THIRD WORLD
- Corn is good for you; Corn is not only a tasty treat, but also a cereal that ...
- THE 50 BEST STYLISH HANDBAGS TO CARRY
- More »
Creditors, however, demanded the chairman put up his personal wealth as collateral and his family members were asked to put up their stakes in LG units as further guarantees.
LG Card suspended cash loans to customers for more than three hours on Friday, ...
