Prosecutors release Kia Motors president after questioning, Hyundai Motor says

<p>Prosecutors released the president of Kia Motors Corp. early Friday, Hyundai Motor Co. said, following about 18 hours of questioning related to a bribery probe that has engulfed the Hyundai Motor Group.</p><p>Chung Eui-sun, Kia's president and the highest ranking member of the Hyundai group so far to be questioned, answered a prosecution summons early Thursday, vowing to cooperate.</p><p>"He was released at 4 a.m.," said Hyundai Motor spokesman Oles Gadacz, who had no other details. Prosecutors declined to comment.</p><p>Over the past month, prosecutors have raided offices of Hyundai and its three affiliates _ Kia Motors, logistics unit Glovis Co. and auto-parts maker Hyundai Autonet _ and questioned key officials.</p><p>Chung, the son of Hyundai Motor Chairman Chung Mong-koo, told reporters he "cooperated sincerely with the investigation" upon emerging from the Supreme Public Prosecutors' Office in Seoul, Yonhap news agency reported.</p><p>Kia Motors could not officially confirm those remarks.</p><p>The investigation has centered on suspicions Hyundai embezzled money from affiliates to create a slush fund and used it, via at least two lobbyists, to seek favors from the government.</p><p>The lobbyists have been arrested on charges of receiving money from Hyundai in exchange for promises to help the company win construction approvals and permits, and other business favors.</p><p>It is unclear if the lobbyists bribed government officials. It is illegal in South Korea to accept money in return for exercising influence.</p><p>Prosecutors last week questioned two other top Hyundai executives as well as a former deputy governor of the state-run Korea Development Bank.</p><p>Hyundai announced Wednesday that the two Chungs planned to donate $1.1 billion worth of personal assets to society. The company also said it "apologizes" for causing concerns to the public over the scandal.</p><p>Kia last month announced plans to build its first manufacturing plant in the United States. The West Point, Georgia plant, scheduled to begin production in 2009, is expected to create about 5,500 jobs.</p><p>A groundbreaking ceremony for the facility scheduled for later this month has been indefinitely postponed, said Kia spokesman Michael Choo, who added that preparatory work related to the project is continuing.</p><p>Hyundai Motor has a U.S. factory in neighboring Alabama.</p>