14 Public Institutions Buying Hiking Boots and Watches with Public Funds... Detected by the Anti-Corruption and Civil Rights Commission

A large number of public institutions were caught misusing public funds by purchasing expensive sportswear and wristwatches with 'facility incidental expenses' (incidental expenses incurred beyond the costs necessary for project execution).

Leisure shoes purchased with public funds. [Image source=Anti-Corruption and Civil Rights Commission]

On the 5th, the Anti-Corruption and Civil Rights Commission (ACRC) held a briefing at the Government Seoul Office in Jongno-gu, Seoul, announcing the results of an investigation into the execution of facility incidental expenses. From June to November, the ACRC selected a total of 14 institutions, including metropolitan and basic local governments, educational autonomous bodies, and public-related organizations, and conducted an investigation into the execution of facility incidental expenses from January 2020 to August this year. The investigation targets included Ulsan, Sejong, Gyeongbuk, Ulsan Dong-gu, Gangwon Gangneung, Gyeongbuk Sangju, Jeonbuk Namwon, Jeonnam Gurye, Chungbuk Yeongdong, Chungbuk Office of Education, Gangwon Office of Education, Busan Office of Education, Korea Rural Community Corporation, and Korea Railroad Corporation.

The investigation found that all nine local governments purchased expensive sportswear using facility incidental expenses, and eight institutions, including three offices of education, improperly received travel expenses by falsely registering business trip details. Two public-related organizations executed overseas travel expenses unrelated to construction supervision duties. Some local governments purchased expensive wristwatches, external hard drives, and other items for private use by attaching false transaction statements.

Additionally, clothing expenses, which should be used to purchase safety items such as helmets and safety shoes only when necessary for public officials designated as construction supervisors, were used to buy expensive sportswear. Furthermore, payments were made to senior officials who were not construction supervisors. In total, nine institutions improperly executed approximately 640.76 million KRW.

Eight institutions also improperly received about 286.79 million KRW in travel expenses by falsely registering business trip reports, such as claiming full travel time despite not going on trips or returning early, or registering the use of personal vehicles despite using rental cars. Although travel expenses from facility incidental expenses cannot be used for overseas trips, two institutions improperly executed about 281.58 million KRW as overseas travel expenses under the pretext of overseas inspections by employees unrelated to construction, visiting various European countries and Australia. In addition, two institutions improperly executed about 9.49 million KRW by purchasing private items such as expensive wristwatches and external hard drives with false transaction statements or by using facility incidental expenses for lunch and refreshments without supporting documents.

The ACRC notified the relevant institutions of these facts, demanding necessary measures such as recovery, and plans to promote institutional improvements where needed. Jeong Seung-yoon, Vice Chairman and Secretary General of the ACRC, stated, "Facility incidental expenses are funded by taxpayers' money and must not be used for private purposes." He added, "We will continue to actively work to prevent improper budget execution."

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