Solar Panel Contractor Charged Without Detention for Defaulting on 91.1 Billion Won Loan with False Documents

Embezzlement of 8.078 Billion KRW in Company Funds Also Involved

A solar power plant construction contractor accused of obtaining a large loan through false documents and embezzling company funds has been brought to trial.

The Seoul Central District Prosecutors' Office in Seocho-gu, Seoul. Photo by Yonhap News

The Financial Investigation Division 1 of the Seoul Southern District Prosecutors' Office (Chief Prosecutor Kim Suhong) announced on the 11th that it has indicted Jang Mo (44), the CEO of the solar power plant construction company, without detention on charges of fraud and embezzlement under the Act on the Aggravated Punishment of Specific Economic Crimes, as well as forgery and use of false documents.

From June 2020 to December 2021, Jang submitted false documents to a solar fund management company and obtained a loan of 91.18 billion KRW under the pretext of construction payments.

Jang exploited the fact that half of the construction payment was received as an advance payment to recklessly expand the business and increase sales. He took advantage of loopholes in the project financing (PF) structure of solar construction projects.

Jang is also accused of withdrawing 8.078 billion KRW of company funds and using them for personal purposes such as purchasing virtual assets.

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