Seong Jang-hyun, Yongsan District Mayor, "Did Not Report Private Interests; Only Pointed Out Simple Procedural Issue"

Published 17 Mar.2021 21:46(KST)

[Asia Economy Reporter Jong-il Park]

Statement

Amid the social turmoil caused by COVID-19 and the LH scandal, I sincerely apologize for causing concern to the residents of the district due to my personal matters.

In July 2015, I legally purchased a multi-family house in Bogwang-dong (Hannam 4 District) together with my two sons through proper and lawful procedures. This was nine years after Hannam 4 District was designated as the Hannam Redevelopment Promotion Zone (October 2006) and six months after the approval of the association establishment (January 2015).

However, five years later, in November 2020, a local civic group reported to the Anti-Corruption and Civil Rights Commission that my house purchase posed a potential conflict of interest. On the 15th of this month, the Commission judged that “the district mayor, as a homeowner in Hannam 4 District, violated the public officials’ code of conduct by not reporting a private interest.”

This pointed out a simple procedural issue that I did not report a private interest to “preemptively block possible conflicts of interest in the future,” according to Article 5 of the revised district public officials’ code of conduct enacted three years after the house purchase (2018).

Of course, this is my fault. However, the reporting of private interests should be judged after reviewing specific facts such as job relevance. According to the inquiry response, the Commission also views job relevance as “supervisors (section chiefs, department heads, directors in the approval line) who can directly influence the handling of the relevant work, other than the public officials in charge of the relevant duties.”

Our district delegates the authority and responsibility for urban planning execution to the relevant bureau chief according to Yongsan District’s office decision-making rules and stipulates that decisions be finalized accordingly. Institutionally, the system has prevented the district mayor from having a potential conflict of interest, so I judged that the district mayor does not have direct job relevance with possible conflicts of interest.

Redevelopment projects are strictly conducted according to legal and institutional procedures and must comply with various regulations such as the Framework Act on National Land, the Act on Maintenance and Improvement of Urban Areas and Dwelling Conditions, the Special Act on the Maintenance and Improvement of Vacant Houses and Small Houses, the Urban Development Act, and the Special Act on the Promotion of Traditional Markets and Shopping Districts.

Above all, the major decision-making authority for redevelopment promotion projects in Seoul lies with the Seoul Metropolitan Government, and the district mayor’s authority defined by law, such as project implementation approval and management disposition approval, is not discretionary but a binding act carried out through consultation with Seoul City.

Nevertheless, I respect the Commission’s judgment and will humbly accept it. I will immediately report my private interests to the district’s code of conduct officer (Audit Officer) and take appropriate measures such as avoiding related duties to ensure that no conflicts of interest arise during future work processes.