'9-Year-Old' Conflict of Interest Prevention Bill... Controversy Over Inclusion of Public Officials' Families and Relatives

Idea of 'Registration System' for Private Interest Parties in Official Duties
To Pass Before April 7 By-Election
Requires Approval at the 17th Political Affairs Committee Full Meeting and Passage in the Plenary Session

President Moon Jae-in attending and delivering a congratulatory speech at the appointment ceremony for new police lieutenants and captains held at the Korean National Police University in Asan, Chungnam, on the afternoon of the 12th. (Image source=Yonhap News)

[Sejong=Asia Economy Reporter Moon Chaeseok] Discussions on the Conflict of Interest Prevention Act, which has been left unattended for nine years since its approval by the Cabinet in 2013, are gaining momentum in the political sphere following suspicions of speculation in new towns by Korea Land and Housing Corporation (LH). The key issue is whether the 'private interested parties' related to a public official's duties should be limited to their family or extended to relatives. Since some bills pending in the National Assembly include opinions on a pre-registration system for private interested parties, further discussion is necessary.

According to political circles and the Anti-Corruption and Civil Rights Commission on the 13th, the National Assembly's Political Affairs Committee plans to focus on discussing the key issues of the Conflict of Interest Prevention Act at the second subcommittee meeting on the 16th and the full committee meeting on the 17th. According to the proposed amendments, public officials must compulsorily report to the head of their institution and apply for recusal if they become aware that a person related to their duties is a private interested party. The law's original intent is to prevent the misuse of official authority for unfair gain. For example, officials in the Ministry of Land, Infrastructure and Transport's LH supervision and management departments, or those responsible for selecting and approving LH development sites, must report if they or their family own land in the relevant area.

The core of the discussion is whether to include 'all public institution officials' as subjects of the law, as stated in the proposed amendment. If this principle is upheld, public-related organizations such as the Korean Broadcasting System (KBS) will also be included. Another point of interest is whether the scope of private interested parties should be limited to 'the public official themselves or their family' under civil law or extended to relatives.

Draft bill of the "Conflict of Interest Prevention Act for Public Officials" sponsored by Park Yong-jin, a member of the Democratic Party of Korea. (Source: National Assembly Legislative Information System)

Particularly, attention is focused on whether the 'pre-registration system for private interested parties' included in the amendment proposed by Park Yong-jin, a member of the Democratic Party of Korea, which is the strictest, will be enforced. According to this proposal, ▲public officials must register private interested parties with the registration institution and report any changes once a year, ▲the head of the public official's affiliated institution must consult with the registration institution when setting exceptions to interest registration and disclose the exception items and reasons, and ▲for high-ranking officials such as those at grade 1 (vice-minister level) or above, the registered private interests must be disclosed.

Sanctions for violations of conflict of interest prevention regulations as stated in the "Purpose and Key Contents of the Bill to Prevent Conflicts of Interest for Public Officials" announced by the government. (Source: Anti-Corruption and Civil Rights Commission)

Among the eight behavioral standards for the Conflict of Interest Prevention Act included in the pending bill, discussions are expected at the Political Affairs Committee meeting on whether to increase the penalties for the seven standards other than the 'prohibition of using confidential information in the course of duty.' According to the Anti-Corruption and Civil Rights Commission, the penalty for using confidential information in the course of duty is imprisonment of up to seven years or a fine of up to 70 million won. The others are subject only to fines ranging from 10 million to 30 million won. The fine standards include ▲directing the hiring of family members in the affiliated public institution and ▲directing the affiliated public institution to enter into private contracts with oneself or family members.

Following President Moon Jae-in's official announcement of the law's enactment on the 10th and Lee Nak-yeon's, the Democratic Party's standing election committee chairman, request on the 12th for prompt passage of the Conflict of Interest Prevention Act by both ruling and opposition parties, the speed of the law's passage is expected to increase. To realize the ruling party's goal of passing the law in March, before the April 7 by-elections, the process must go through the full committee meeting of the Political Affairs Committee, the full committee meeting of the Legislation and Judiciary Committee, the plenary session, and public hearings.

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