Prosecutors Summon Kim Jung-tae, Hana Financial Group Chairman... Investigating 'Kwak Sang-do 5 Billion Club' Confirmation

Former Special Prosecutor Park Young-soo and Deputy Director Jeong Jin-sang Summoned... Investigation Accelerates on Lobbying Allegations and Possible Involvement of Higher-Ups in Development

[Asia Economy Reporter Bae Kyunghwan] The prosecution investigating allegations of preferential treatment and lobbying in the Daejang-dong development in Seongnam City has summoned Kim Jeong-tae, chairman of Hana Financial Group, as a witness. This is part of efforts to clarify the so-called ‘50 Billion Club’ allegations involving former National Assembly member Kwak Sang-do. The investigation, which had been stalled due to the dismissal of Kwak’s arrest warrant and a series of accidents involving the investigative team, appears to be gaining momentum again.

According to the legal community on the 30th, the dedicated investigation team at the Seoul Central District Prosecutors’ Office (led by Deputy Chief Prosecutor Kim Tae-hoon) summoned Chairman Kim this morning for questioning as a witness.

The investigation team believes that when the Hana Bank consortium, which included Hwacheon Daeyu, a private developer of the Daejang-dong project, faced the risk of collapse, former lawmaker Kwak, who was asked by Kim Man-bae, the major shareholder of Hwacheon Daeyu, exerted influence on Chairman Kim to prevent this. The investigation team plans to confirm with Chairman Kim whether there was an actual request, as the 50 billion won received by Kwak’s son from Hwacheon Daeyu, which sparked the controversy over the 50 Billion Club, is said to be the payoff.

The summoning of Chairman Kim is seen inside and outside the prosecution as a supplementary investigation aimed at indicting former lawmaker Kwak. Earlier, the investigation team requested an arrest warrant for Kwak on charges including violation of the Act on the Aggravated Punishment of Specific Economic Crimes (acceptance of bribes), but the court dismissed it, citing doubts about the establishment of the crime. Some view the investigation team’s summoning of construction company officials involved in the consortium and preparing to summon Chairman Kim as groundwork for reapplying for the warrant.

Starting with Chairman Kim, the investigation team plans to sequentially summon former special prosecutor Park Young-soo and Jeong Jin-sang, deputy chief of the secretariat of the Democratic Party presidential candidate’s campaign. This is to verify whether higher-ups, including those at the peak of the lobbying allegations and the Daejang-dong development officials, were involved. A prosecution official said, “(Some summons) have confirmed schedules, and verification of related allegations is expected. It may not end with just one investigation, but since attendance is not easy, we will proceed with as much preparation as possible.”

The investigation team had planned to summon former special prosecutor Park for questioning yesterday afternoon but postponed it due to Park’s circumstances. It has been confirmed that the team is currently coordinating a new summons date with Park. Park is suspected of acting as an advisor to Hwacheon Daeyu, facilitating the Daejang-dong development and receiving compensation. Additionally, there are allegations that Park’s child, who worked at Hwacheon Daeyu and later resigned, received an apartment in the Daejang-dong area at a discounted price.

Furthermore, the summons schedule for Deputy Chief Jeong, identified as a key figure in the investigation of Seongnam City’s higher-ups during the Daejang-dong development, is also being coordinated. Jeong, who served as Seongnam City’s Policy Director, was part of the upper-level approval line for the Daejang-dong development and appeared under the name ‘Deputy Chief Jeong’ in allegations of pressuring Hwang Mu-seong, the first president of Seongnam Urban Development Corporation, to resign prematurely.

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