Namyang Dairy chairman Hong Won-sik wipes away tears as he tenders his resignation. (Photo: Yonhap News)
The chairman of Namyang Dairy has offered to step down to take responsibility for controversy caused by claims that one of the company's drinks can prevent COVID-19.
Hong Won-sik tendered his resignation Tuesday and said he will not pass on management rights to his children.
The embattled chairman also apologized for the delay in the decision and asked for continued support for the company's employees.
Namyang has faced backlash after its research chief claimed in April that the Bulgaris yogurt they produce can reduce the risk of coronavirus infections.
That claim boosted sales of Bulgaris and the company's stocks.
The Seoul Metropolitan Police Agency raided Namyang's headquarters last week and launched a full-fledged investigation after the Ministry of Food and Drug Safety filed a complaint against dairy firm for violating the Food Labeling and Advertisement Law.
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