Three key figures from South Korean electronics giant have been sentenced to 7 to 8 months in prison and ordered to pay a total of $750,000 for their involvement in a memory chip price-fixing scandal.
The individuals convicted by a U.S. court are Sun Woo Lee, the DRAM Sales Director; Yeongho Kang, the Deputy Market Manager in the U.S.; and Young Woo Lee, the Sales Director for Samsung in Germany.
In early 2006, four other officials from Hynix Semiconductor (South Korea) also received sentences ranging from 5 to 8 months for engaging in unhealthy price control practices of DRAM.
The U.S. government conducted investigations into the collusion among various manufacturers to inflate prices of memory chips used in personal computers, servers, mobile phones, cameras, and gaming consoles starting in 2002. Last October, Samsung admitted its wrongdoing and accepted a fine of $300 million. Hynix had previously agreed to pay $185 million, while Infineon Technologies AG (Germany) returned $160 million back in 2004.
The total compensation amount paid by these manufacturers has reached $731 million, making it one of the largest antitrust settlements in history. Victims of this conspiracy included major computer companies such as Dell, Compaq Computer, Apple, Hewlett-Packard, and Gateway.
