The decision of Lee Kun-hee to step down comes a few days after his indictment amid an investigation into corruption allegations. Lee was indicted for tax evasion and breach of trust.

Samsung is South Korea's largest conglomerate. It has annual sales of nearly $160 billion and accounts for 18 percent of South Korea's economic output. The company's exports -- valued at about $70 billion -- account for a fifth of all South Korean exports.

Lee was indicted for breach of trust in connection with a plan to transfer control of the company to his son, a prosecutor said. He was also indicted for tax evasion.

Investigators started looking into Samsung in January, after a former company lawyer said the company created slush funds worth $200 million. Last week, however, a prosecutor said an investigation found no evidence supporting an allegation that the company bribed government officials and prosecutors.

Samsung has apologized for "causing concerns" and said it would outline plans for reform this week.





Source: CNN