A Seoul court rejected on Saturday a prosecutor’s request for an arrest warrant for Chung Yoo-ra, the daughter of Choi Soon-sil who is at the heart of a massive influence-peddling scandal that led to the ouster of South Korean President Park Geun-hye, Yonhap news agency reported.

The denial of the arrest request constitutes a setback to the investigation that has sent Park, her former aides as well as big names in the business world behind bars.

Chung Yoo-ra was released after hours-long deliberation by a judge on June 3, 2017. /VCG Photo

"With the essential evidence being collected, and her (Chung's) involvement in the scandal has been investigated, it is difficult to acknowledge the reason, necessity, and appropriateness of an arrest at this stage of the investigation," the Seoul Central District Court said in a statement, without elaborating.

The 21-year-old woman has been accused of receiving undue admission and grading privileges from Seoul-based Ewha Woman's University and irregular funding for her equestrian training from Samsung Group thanks to her mother's close ties to Park.

VCG Photo‍

She arrived in Seoul on Wednesday after being extradited from Denmark, where she had been detained. She fled to Europe last year to avoid being prosecuted by South Korean authorities for her links to alleged crimes of her mother, who is accused of colluding with Park to coerce the country's top businesses to donate large sums of money to two foundations controlled by Choi.

Chung has so far denied any knowledge of the allegations raised against her, said she was in the dark of any possible dealings between her mother and Park.

Chung Yoo-ra talks to reporters after leaving the court following an hours-long deliberation by a judge. /VCG Photo

"I'm truly sorry for having caused so much concern to many. I'm truly sorry. I will faithfully face the investigation by prosecutors," Chung told reporters, "There are things I'm not aware of. I don't necessarily see myself as being victimized but there are times when I ask myself 'Why didn't I know about this?'"

Choi and Park are currently detained while their trials for extortion and abuse of power are underway.

Prosecutors are expected to re-apply for an arrest warrant.

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