Prosecutors Conduct Closed-Door Interrogation of Jeong Jin-sang Over Baekhyeon-dong Development Favoritism Allegations

Suspicion of 'Permit Resolution' Related to Baekhyun-dong Development

The prosecution investigating the 'special favors and corruption allegations in the Baekhyeon-dong development project' has privately summoned Jeong Jin-sang, former Political Coordination Officer of the Democratic Party's Office and a close aide to Lee Jae-myung, leader of the Democratic Party of Korea.

Jeong Jin-sang, former Political Coordination Officer of the Democratic Party of Korea's Party Representative Office, is heading to the courtroom on the morning of the 4th at the Seoul Central District Court in Seocho-gu, Seoul, to attend the first trial session related to the "42.8 billion won promise and bribery" case.
[Image source=Yonhap News]

According to the legal community on the 25th, the Anti-Corruption Investigation Division 1 of the Seoul Central District Prosecutors' Office (Chief Prosecutor Eom Hee-jun) summoned Jeong earlier that morning as a suspect and is currently questioning him.

Jeong is suspected of resolving permits related to the Baekhyeon-dong development project in 2015 upon requests from lobbyist Kim In-seop, former CEO of Korea Housing Technology, and others, and of being involved in excluding Seongnam Urban Development Corporation from the project.

The Baekhyeon-dong development project involved building apartments on the former Korea Food Research Institute site in Baekhyeon-dong, Bundang-gu, Seongnam City. The prosecution believes that various permit conditions for the Baekhyeon-dong development were altered to favor private real estate developer Asia Developer's chairman Jeong Ba-ul and other private businessmen.

Asia Developer was the largest shareholder holding 46% of the shares in Seongnam R&D PFV, the project operator of Baekhyeon-dong. The prosecution suspects that former Seongnam Mayor Lee and Jeong used their connections with former CEO Kim to arrange permits for Chairman Jeong.

As a result of the Baekhyeon-dong project, Seongnam R&D PFV reportedly earned sales profits worth around 300 billion won, and Asia Developer obtained approximately 70 billion won in dividends, according to the prosecution.

Chairman Jeong recently testified at former CEO Kim's trial that he was asked for 20 billion won as a brokerage fee by Kim, and that he understood half of that money was to go to Lee and Jeong.

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