Prosecutors Accelerate Investigation into 'Optimus Lobbying' Again

Investigation in Public Institution Lobby Before Personnel Changes Concludes... Additional Probes Planned for Former Jeonpa Promotion Agency Director Choi and Others

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[Asia Economy Reporter Baek Kyunghwan] The prosecution is accelerating its investigation into the Optimus Asset Management fund fraud case. While the key lobbyists have already been indicted, no conclusion has yet been reached regarding the lobbying allegations. The prosecution plans to wrap up the public institution lobbying part by early next month, when a major personnel reshuffle, which could be the biggest variable in handling the case, is scheduled.

According to the legal community on the 12th, the Economic Crime Criminal Division of the Seoul Central District Prosecutors' Office (Chief Prosecutor Joo Mincheol) is set to conduct additional investigations into Choi, former head of the Fund Management Division at the Korea Communications Agency. Choi is suspected of receiving money and valuables from Jung Youngje, former CEO of Optimus Alternative Investments and a key lobbyist for Optimus, and investing the agency's funds.

Our confirmation shows that Choi was questioned by the investigation team just before Jung was arrested on November 25 last year. During this process, the investigation team, which checked Choi’s relationship with Jung and his involvement in fund investment and management, added charges against Jung based on Choi’s statements.

Jung is accused of conspiring with Kim Jaehyun, CEO of Optimus, and others from June 2017 to March 2018 to deceive the Korea Communications Agency into investing 106 billion KRW by pretending to invest in safe assets such as government bonds, AAA-rated commercial bank bonds, derivatives based on these, or confirmed revenue bonds of public institutions.

At the time of the Optimus investment, Choi was head of the Fund Management Division and maintained a close relationship with the Optimus management, even traveling overseas with their families, raising suspicions of collusion. He received a reprimand in September 2018 for his responsibility in the investment.

The investigation team has continued probing other allegations beyond the basic charges included when Jung was indicted and detained. Additional investigations into Choi are reportedly being scheduled in the same context. Although Choi was summoned as a witness during the National Assembly audit last October, he did not appear, causing controversy. It has been confirmed that he moved to a specialist position at the Broadcasting and Communications Promotion Division in the recent regular personnel reshuffle. Previously, after receiving disciplinary action, he had briefly transferred to a specialist role at the Northern Seoul Division.

The investigation team also plans to revisit the lobbying allegations involving political and government figures, which stalled after the death of a close aide to Lee Nakyeon, leader of the Democratic Party of Korea, who was under investigation related to Optimus. Targets include Yoon, former director at the Financial Supervisory Service, who is known to have received millions of KRW in bribes for connecting financial figures to former Blue House administrative officer Lee and CEO Kim, as well as a Blue House Civil Affairs Office investigator who reportedly received pocket money from CEO Kim.

There is also a possibility of investigating the advisory group mentioned in the Optimus documents. These advisors, who provided fund consultation, include former Deputy Prime Minister Lee Heonjae, former Prosecutor General Chae Dongwook, former Nara Bank President Yang Ho, and former Military Mutual Aid Association Chairman Kim Jinhoon. The documents indicate that this advisory group offered advice and resolved complaints whenever the company faced problems.

The prosecution will also focus on securing the whereabouts of Ki, the only one among the four Optimus lobbyists who has not yet been apprehended. With support from other departments such as the Criminal Division, the investigation team succeeded in locating former CEO Jung and is currently cooperating to confirm Ki’s whereabouts. Ki is suspected of using an office located in N Tower, Gangnam-gu, Seoul, provided by CEO Kim, and attempting to lobby political and government figures for Optimus’s interest projects.

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