Prosecutors Raid Gangwon Provincial Office and Pyeongchang County Office Over Alpen시아 Bid Interference

Seoul Central District Prosecutors' Office Photo by Yonhap News

[Asia Economy Reporter Kim Hyung-min] The prosecution has launched a forced investigation for two consecutive days regarding allegations of bid-rigging in the Pyeongchang Alpensia Resort tender by KH Group.

The Violent Crime Investigation Division of the Seoul Central District Prosecutors' Office (Chief Prosecutor Shin Junho) is conducting searches on the 28th at the Gangwon Province Governor's office and secretariat, Gangwon Development Corporation, and Pyeongchang County Office. This is an additional forced investigation following the previous day's searches of former Gangwon Province Governor Choi Moon-soon's residence and KH Group affiliates.

The prosecution is reported to be securing internal approval documents related to the sale of Alpensia Resort conducted last year from Gangwon Provincial Office and Pyeongchang County Office. In June of last year, Gangwon Development Corporation sold Alpensia Resort to KH Gangwon Development Co., Ltd., a special purpose company under KH Group, for 711.5 billion KRW through a competitive bidding process. Subsequently, both companies that participated in the bid were revealed to be affiliates of KH Group, raising suspicions of collusion, and a petition was submitted to the police.

The police have booked former Governor Choi, provincial office officials, and KH Group affiliates and transferred the case to the Chuncheon District Prosecutors' Office. The case was then transferred to the Seoul Central District Prosecutors' Office at the end of last month.

The key figure in the case, Chairman Bae Sang-yoon of KH Group, is currently staying overseas and is wanted. The prosecution is reportedly considering measures to pressure his return to the country.

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