"Responsibility for Financial Mismanagement" … Ministry of Education Cancels Approval of Myongji University School Corporation Executives

[Asia Economy Reporter Jo In-kyung] All board members of Myongji Academy, a school corporation criticized for financial insolvency, have had their executive approvals revoked by the education authorities.

On the 3rd, the Ministry of Education announced the cancellation of appointment approvals for all 12 executives of Myongji Academy, which operates Myongji University and Myongji College, including Chairman Hyun Se-yong, Myongji University President Yoo Byung-jin, 10 board members, and 2 auditors.

The foundation was found to have mismanaged its finances, resulting in debt, and failed to present fundamental solutions to restore financial soundness. The Ministry of Education plans to initiate the process of appointing temporary board members soon to resolve the executive vacancy issue.

This decision to revoke executive approvals arose after a bankruptcy petition for Myongji Academy was filed at the Seoul Rehabilitation Court in 2018. In 2004, Myongji University advertised the construction of a golf course within its Yongin campus' senior welfare facility and sold housing units, but the golf course was never built.

Creditors filed for Myongji Academy's bankruptcy at the Seoul Rehabilitation Court in 2018 after the academy failed to pay compensation. While some creditors reportedly reached settlements with Myongji Academy, those who did not settle filed a bankruptcy petition amounting to approximately 5.6 billion KRW against the academy last year.

Ultimately, the Ministry of Education intervened and demanded the school corporation propose self-rescue measures to resolve the issue in June of last year. Although the corporation submitted a plan in July, the Ministry judged it insufficient as a fundamental solution and, after a hearing in October, decided to revoke the executives' appointment approvals.

This content was produced with the assistance of AI translation services.