SEOUL, May 16 (UPI) -- South Korea's Hyundai Motor Co., whose chairman has been arrested, is indefinitely postponing construction of a car factory in the Czech Republic.
Chairman Chung Mong-koo was arrested late last month on charges of embezzling company funds worth more than $116 million.
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Despite the resulting delay in breaking ground, Hyundai said it will sign a formal contract to set up the $1.3 billion plant, to be built in the eastern Czech region of Nosovice, on Thursday with high-ranking officials from the Czech government at the company headquarters in Seoul, JoongAng Ilbo reported Tuesday.
Hyundai Motor had planned to formalize the contract Tuesday.