The Seoul Central District Court on Saturday rejected a warrant request by prosecutors to formally arrest Chung Yoo- ra, who was extradited from Denmark on Wednesday.
It's difficult to see Chung as a threat to destroy evidence when prosecutors had already gathered the essential evidence they need to push ahead with their investigation, the court said.
Meeting reporters after her release, Chung bowed and apologized to the public for "causing concerns" and promised to continue cooperating with prosecutors. But she denied breaking any laws and repeated that she didn't have specific knowledge about her mother's alleged crimes.
Prosecutors have grilled Chung over various allegations, including that she, despite questionable qualifications, was given admission to a prestigious university and received academic favors from the school because of her mother's presidential ties.
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Prosecutors also see Chung as a key figure in the suspected bribery connections between former President Park Geun-hye and corporate giant Samsung. Park was removed from office and arrested in March, and is on trial over a broad range of charges, including bribery, extortion and abuse of power.
The money prosecutors see as bribes include USD 7 million that Samsung provided to a sports consulting firm controlled by Choi that financed Chung's equestrian training in Germany.
The scandal surrounding Park and Choi has led to the indictments of dozens, including former government officials, presidential aides and billionaire Samsung scion Lee Jae-yong, who is under suspicion of sponsoring Choi's family in exchange for business favors from Park's administration.