[2022 National Audit] Health Insurance Corporation's '4.6 Billion Embezzlement and Employee Sexual Crimes' Severely Criticized at the Audit Hearing

[Image source=Yonhap News]

[Asia Economy Reporter Kim Young-won] At the National Assembly audit of the National Health Insurance Service (NHIS), moral hazards such as embezzlement and illegal filming by NHIS employees were criticized by both ruling and opposition members of the Health and Welfare Committee.

At the Welfare Committee audit held on the 13th in Wonju, Gangwon Province, the NHIS's successive incidents were brought up from the very first question.

Choi Yeon-sook, a member of the People Power Party, said, "It is utterly disheartening to see how far the moral hazard of the corporation responsible for the nation's health insurance has gone," adding, "The premiums managed by the corporation exceed 100 trillion won. The money paid by the public should be safely protected, but it seems that has not been the case." She pointed out, "The suspect is said to have embezzled funds by deliberately manipulating account information, which means they were aware of the system's loopholes, and even if it were not this employee, anyone could have embezzled funds."

Earlier last month, an NHIS team leader in charge of bond management, identified as Mr. A, embezzled 4.6 billion won and fled overseas, currently under police pursuit. Earlier this month, employee B was investigated by the police for secretly filming female employees in the NHIS fitness center.

Choi Young-hee, also from the People Power Party, said, "The NHIS finances have been in the red since 2018, with reserves expected to be depleted by 2029, signaling a red light. This embezzlement case is extremely shocking," urging Director Kang Do-tae of the NHIS to "offer a sincere apology to the public here and now." In response, Director Kang apologized, saying, "I am deeply sorry for causing concern to the public," and "I apologize for not being more meticulous."

When lawmakers pointed out that the system allowing the team leader to have full authority over cash disbursement requests, approvals, and payments was problematic, Director Kang responded that measures had been taken to decentralize authority by elevating bond processing authority from team leader to department head level.

Choi Hye-young of the Democratic Party criticized, "When the 200 million won embezzlement incident occurred in 2010, you gave the same response, but since then, there have been five more embezzlement cases up to this year."

She also pointed out that the embezzled funds have not been properly recovered. She said, "Even 20 days after the 4.6 billion won embezzlement incident, we still do not know the amount recovered, and therefore no measures have been prepared for the unrecovered losses," adding, "Of the 200 million won embezzled in 2010, only 75 million won has been recovered so far, which is less than half."

Director Kang promised, "Since this is an ongoing investigation, I cannot disclose details about provisional seizure or recoverable amounts, but once identified, we will explore various measures to ensure no damage is caused to the public."

Regarding the illegal filming incident, Democratic Party member Han Jeong-ae urged, "Protect the victim employee well to prevent further harm or secondary victimization, and provide necessary protection and support if additional victims are identified." Director Kang responded, "We will strictly and severely punish violations related to personal information, embezzlement, and sexual crimes."

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