Dong-A Socio Holdings Chairman Kang Jung-seok was arrested Monday for embezzling company funds and handing out kickbacks, the Busan District Prosecutor’s Office said.

Kang_강정석 is suspected of embezzling around 70 billion won ($62 million) of company funds, shelling out 5.5 billion won in bribes, and avoiding 17 billion in taxes, prosecutors said.

The court has issued the arrest warrant, acknowledging Kang has served as the chief executive officer of the business division. Kang has denied the allegations.

Dong-A Socio Holdings_{동아쏘시오홀딩스} – the holding company of one of the “big 3” Korean pharmaceutical companies (Dong-A ST) – now remains without a top decision maker.

“The court’s decision to arrest (Chairman Kang) does not indicate guilt or innocence,” Dong-A Socio Holdings said in an official statement Tuesday. “We will handle the possible problems that could arise from the chairman’s arrest and fill managerial vacuum by allocating responsibilities to each division’s president,”