The chief executive of the recently suspended Korea Savings Bank has been arrested for allegedly embezzling bank funds, the Korea Herald reports.

Yoon Hyun-soo was accused of issuing illegal loans worth around 150 billion won ($127.6 million) to a unit of Taihan Electric Wire Co and embezzling an unknown amount to purchase a resort and golf course in Japan. He was also said to have smuggled funds out of the country through a 70 billion won loan to a golf range in Malaysia. Yoon's party has yet to comment on the matter. 

Korea Savings Bank was one of the four banks suspended in 6 May for failing to meet regulatory standards, resulting in a investigation. Top executives of the other three banks, Mirae Mutual, Hanju and Solomon Savings Bank, have also been arrested for similar reasons.