"Park Won-soon and Lee Jae-myung Show Interest in North Korean Cryptocurrency"... Oh Se-hoon Says "Request Investigation if There Are Issues" [2022 National Audit]

Rep. Joe Eun-hee of the People Power Party, quoting Rep. Kim Eui-gyeom of the Democratic Party the day before
"An act of treason to help North Korea under UN sanctions"
Oh Se-hoon: "No contact regarding North Korea-related cryptocurrency
Confirming related details... Audit underway on inter-Korean exchange cooperation projects"

Seoul Mayor Oh Se-hoon is giving a greeting at the National Assembly audit on Seoul held on the 12th at the Seoul City Hall Grand Conference Room in Jung-gu, Seoul. Photo by the National Assembly Press Photographers Group

[Asia Economy Reporter Lee Hyun-joo] Controversy over North Korea-related cryptocurrency has come under scrutiny during the National Assembly's Public Administration and Security Committee's audit of Seoul City.

On the 12th, Jo Eun-hee, a member of the Public Administration and Security Committee from the People Power Party, stated at the National Assembly audit held at Seoul City Hall, "According to the content revealed by Kim Eui-gyeom, a member of the Democratic Party of Korea, during the Legislative and Judiciary Committee's audit on the 6th, emails exchanged between Virgil Griffith, the developer of the cryptocurrency 'Ethereum,' and Erica Kang indicate that former Seoul Mayor Park Won-soon and former Seongnam Mayor Lee Jae-myung showed interest in establishing an Ethereum research center and Ethereum servers in North Korea." She added, "Erica Kang is Kang Hyun-jung, the CEO of Crypto Seoul. Crypto Seoul received a grant of 18 million won from the Seoul Industrial Promotion Agency under Seoul City in 2019."

Rep. Jo said, "Based on the email exchanges between Griffith and Kang Hyun-jung, I am curious about what discussions took place among former Mayor Park, Seoul City officials, especially those in charge of blockchain-related tasks at the time." She continued, "This needs to be thoroughly investigated, and if there are any issues, the police or judicial authorities should be requested to conduct an investigation." In particular, Rep. Jo pointed out "the act of aiding North Korea, which is subject to UN sanctions, as an act of treason."

[Image source=Yonhap News]

Concerns were also raised regarding the sharp increase in the inter-Korean cooperation fund prepared by Seoul City. Rep. Jo stated, "Since the beginning of the Moon Jae-in administration in 2017, the fund amount over five years has increased more than 15 times compared to the previous five years." She added, "With suspicions arising from the North Korea-related cryptocurrency project being mentioned by a Democratic Party member, I am also suspicious that the 15-fold increase in Seoul City's inter-Korean cooperation fund might have been misused."

Seoul Mayor Oh Se-hoon responded, "Seoul City was not aware of any involvement in the North Korea-related cryptocurrency project until recently, when the circumstances were reported during the Legislative and Judiciary Committee's audit." He continued, "At present, we have decided to verify the facts regarding the extent of Seoul City's involvement during the previous mayor's term concerning the North Korea-related cryptocurrency project. The relevant departments have reported that there was no contact related to the North Korea cryptocurrency project." He added, "We will monitor the situation going forward and request an investigation if any issues arise."

Regarding the inter-Korean cooperation fund, he said, "As the member mentioned, the amount spent over the past five years was 24.2 billion won, compared to 1.5 billion won in the previous five years, which is indeed more than 15 times." He speculated, "This was likely an investment in humanitarian projects under the pretext of fostering a peace atmosphere on the Korean Peninsula following the Panmunjom Declaration." He added, "Ultimately, it appears to be an ineffective budget execution, as it has resulted in issues such as missile and nuclear use." He concluded, "Currently, Seoul City's Audit Committee is conducting an audit on inter-Korean exchange and cooperation projects. We will take appropriate measures based on the audit results."

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