The outcome was decried by some as yet more special treatment for top tycoons, even though the charges potentially carry a stiff prison term if Chairman Lee Kun-hee is found guilty after undergoing trial. The independent counsel dismissed as unsubstantiated what was seen as the central allegation in the case: that Samsung created a massive slush fund by siphoning money from subsidiaries to bribe prosecutors, officials and other influential figures.

The special probe determined that the assets were what Lee inherited from his late father and Samsung founder Lee Byung-chull, and rejected bribery allegations from former Samsung lawyer and whistleblower Kim Yong-chul.

Prosecutors also chose not to arrest Lee, saying it would cause “cause enormous disruptions” to Samsung’s corporate management and have “negative repercussions on our economy amid the extremely competitive global economic situation.”

That’s a familiar argument in South Korea, where tycoons like Lee are considered indispensable.

Last year, Chung Mong-koo, the chairman of Hyundai Motor Co., though found guilty and sentenced to prison for embezzling corporate money, was handed a suspended jail term on appeal because his role was seen as too important to the nation’s economy.

The tax evasion charge against Lee carries a possible sentence of between five years to life in prison, though judges have leeway to decree that no jail time be done.

“We can’t accept” the results of the investigation, said Lee Sang-min, an official at People’s Solidarity for Participatory Democracy, the largest South Korean civic group. “It’s nothing but an attempt to condone (wrongdoing by) Samsung.”

The three-month investigation has plagued Samsung — the most influential conglomerate in one of Asia’s largest economies. Samsung employs about 250,000 people in some 60 businesses; its sales make up nearly a fifth of the South Korea’s gross domestic product.

Prosecutors questioned Lee, his wife, his son and many of his key aides, while raiding many Samsung offices. The case became more sensational as the former Samsung lawyer Kim, in cooperation with a group of Catholic priests, identified some of the alleged bribe-takers.

The priests are known and respected for their battle against South Korea’s former military-backed rulers in the 1970s and 1980s.

But Cho Joon-woong, who led the investigation, told reporters that prosecutors found “no trace” of systemic bribery.

The probe has also examined long simmering allegations by civic groups that South Korea’s biggest family-run conglomerate has used dubious financial transactions to ensure corporate control passes from Samsung Chairman Lee to his son.

Cho said Samsung has “a lot of structural problems, such as illicit transfer of management control” and said he hopes the “probe would serve as an opportunity for Samsung to shed these problems and be reborn as an undisputed ultra first-class global company.”

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