'Lee Jae-myung Illegal Presidential Election Fund Suspicion' Kim Yong Arrested, Decision Today... Prosecution Investigation Critical Phase (Comprehensive)

Kim Yong, Deputy Director of the Democracy Research Institute
Photo by Gyeonggi-do

[Asia Economy Reporter Kim Hyung-min] The decision on whether to detain Kim Yong, deputy director of the Democratic Research Institute and the 'right-hand man' of Lee Jae-myung, leader of the Democratic Party of Korea, who was arrested on charges of receiving illegal political funds worth hundreds of millions of won, is expected as early as the 21st.

The Seoul Central District Court will hold a detention hearing (pre-arrest detention hearing) for Deputy Director Kim at 3:30 p.m. on the same day, presided over by Judge Kim Se-yong, who is in charge of warrants. Earlier, the Anti-Corruption Investigation Division 3 of the Seoul Central District Prosecutors' Office (Chief Prosecutor Kang Baek-shin) filed a detention warrant request with the court on the same morning on charges of violating the Political Funds Act against Deputy Director Kim.

According to the prosecution, Deputy Director Kim is accused of conspiring with Yoo Dong-gyu, former Planning Director of Seongnam Urban Development Corporation, and lawyer Jeong Min-yong (former head of Strategic Business Office at Seongnam Urban Development Corporation) to illegally receive political funds totaling 847 million won in four installments from Nam Wook, a private developer and lawyer involved in the Daejang-dong development, between April and August last year. It is known that Deputy Director Kim received 600 million won of this amount.

The prosecution believes the money was exchanged while the Democratic Party of Korea was preparing for the presidential primary. During the primary, Deputy Director Kim served as the general deputy director in Lee Jae-myung’s campaign, responsible for fundraising and organizational management. The prosecution believes that in February last year, Deputy Director Kim requested about 2 billion won from former Director Yoo for presidential campaign funds. Former Director Yoo then passed this request to lawyer Nam, who prepared about 800 million won in cash over several occasions, which was delivered to Deputy Director Kim through lawyer Jeong and former Director Yoo.

While continuing to investigate allegations of preferential treatment and lobbying related to the Daejang-dong urban development project, the prosecution expanded the scope to include allegations of corruption in the Wirye New Town development. They obtained a decisive statement from former Director Yoo admitting to exchanging money, leading to charges of violating the Political Funds Act.

[Image source=Yonhap News]

Deputy Director Kim’s detention warrant is the first attempt to secure custody regarding the violation of the Political Funds Act. Whether the court grants the detention warrant is crucial as it could determine whether the investigation can proceed effectively. If Deputy Director Kim is detained, the investigation is expected to gain momentum and potentially reach Lee Jae-myung himself. Conversely, if denied, the prosecution may face severe criticism accusing it of 'excessive investigation' and 'political oppression.' On the 19th, the prosecution attempted to conduct a search and seizure at the Democratic Party headquarters in Yeouido, Seoul, where Deputy Director Kim’s office is located, drawing sharp criticism from opposition supporters.

Within the prosecution, there is confidence regarding Deputy Director Kim’s detention. A prosecution official emphasized that the court issued an arrest warrant at the time of Deputy Director Kim’s arrest, stating, "(An arrest warrant) is only issued when there is substantial recognition of criminal suspicion." The prosecution also summoned Deputy Director Kim the day before to investigate the circumstances under which he received the money. Deputy Director Kim reportedly denied all charges, claiming he neither requested nor received any money from former Director Yoo.

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