'Preferential Supply Contract' Lee Yong-seop, Gwangju Mayor's Brother, Sentenced to 1 Year 6 Months in Prison

Only 1 Out of 4 Rebar Supply Contracts Found Guilty

[Asia Economy Honam Reporting Headquarters Reporter Park Jin-hyung] The younger brother of Lee Yong-seop, mayor of Gwangju Metropolitan City, who was indicted on charges of securing preferential supply contracts from Hoban Group, has been sentenced to prison.

Judge Kim Doo-hee of the Gwangju District Court Criminal Division 9 sentenced Lee (66), who was indicted for violating the Act on the Aggravated Punishment of Specific Crimes (accepting bribes), to 1 year and 6 months in prison on the 17th.

However, he was not detained in court, citing no risk of flight and the necessity to guarantee the right to defense.

Lee was prosecuted on charges of receiving opportunities to supply rebar by promising to provide convenience to Hoban during the 1st to 3rd phases of the private park special project if Lee Yong-seop, then a candidate for Gwangju mayor, was elected in the 7th local elections, thereby gaining unfair profits.

It was investigated that from January 2018 to October 2019, he supplied rebar worth approximately 13.3 billion KRW and earned profits of about 420 million KRW.

Lee’s side argued that the first rebar contract was made in the fall of 2017, before the mayor’s candidacy was expected, and that the documents were only prepared in early 2018.

However, the court specified that the contract was made between January 4 and 10, 2018, based on the main work schedule found in the defendant’s office and testimony from the Hoban Construction’s subcontract management team representative.

The delivery terms were also considered abnormal, as the contract was made at a price 29,000 to 33,000 KRW per ton more favorable compared to other companies.

It was seen that Hoban Construction did not adopt a lowest bid system after receiving estimates from multiple companies, indicating an intention to support candidate Lee, who was expected to run for mayor.

In fact, on January 12, 2018, a consortium including Hoban Property was selected as the preferred negotiator for the Bongsan Park special project, and a consortium including Hoban Construction was selected for the Maryuk Park project.

The court acquitted Lee of the other three contracts except for the first rebar supply contract.

The court stated, "The mayor of Gwangju, who should be executed transparently and fairly, was treated as a subject of transactions to obtain illicit profits," and added, "The public’s trust in the fairness and integrity of public officials’ duties has been greatly damaged."

However, the court explained the sentencing reasons, saying, "Considering the absence of prior convictions for similar crimes or heavier punishments than fines, as well as the motive for the crime and circumstances after the crime."

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