Prosecutors Summon and Investigate Seongnam City Daejang-dong Officer... Accelerating Investigation into Higher-Ups

[Image source=Yonhap News]

[Asia Economy Reporter Kim Hyung-min] The prosecution investigating allegations of preferential treatment and lobbying in the Daejang-dong development summoned an employee who was in charge of development work at Seongnam City at the time for questioning.

According to the legal community on the 30th, the dedicated investigation team of the Seoul Central District Prosecutors' Office (Team Leader Kim Tae-hoon, 4th Deputy Chief Prosecutor) summoned A, a public official who worked at the Seongnam City Urban Development Project Group from 2013 to 2018, as a witness for questioning.

A public official is known to have worked in the Land Development Team of the Urban Development Project Group, handling practical tasks such as designating the Daejang-dong urban development zone, establishing development plans, approving implementation plans, and supervising construction.

The prosecution reportedly questioned A about the overall management and supervision process of Daejang-dong by Seongnam City, ultimately probing who authorized the design of the preferential allocation structure and who was involved in selecting the Hana Bank consortium, which included Hwacheon Daeyu Asset Management (Hwacheon Daeyu), as the preferred negotiation partner.

The prosecution also summoned Park, who worked as an inside director in charge of asset management at Hwacheon Daeyu, for questioning.

Following consecutive investigations of individuals related to the '50 Billion Club,' a lobbying list linked to Hwacheon Daeyu, and the request for an arrest warrant for former lawmaker Kwak Sang-do the previous day, the prosecution appears to be accelerating efforts to clarify whether Seongnam City and the Seongnam City Council were involved. On the 24th, they also summoned Lim Seung-min, who was the secretary to then Seongnam Mayor Lee Jae-myung, the Democratic Party's presidential candidate.

The prosecution's investigation is also expanding into the illegal loan case involving Busan Savings Bank and developers of the Daejang-dong project. The prosecution summoned Jo Woo-hyung, a loan broker for Busan Savings Bank, for the third time on the 18th, 24th, and this day for questioning.

Jo is suspected of illegally facilitating a project financing loan of 115.5 billion KRW from Busan Savings Bank to Daejang Financial Project Financing Vehicle (Daejang PFV), represented by Lee Kang-gil in 2009, and receiving 1.03 billion KRW from Lee as a bribe.

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