By Jung Sung-ki
Staff Reporter
South Korea's Ministry of National Defense rebutted claims by U.S. media outlets that some of its soldiers had ``robbed'' part of the $74-million American-financed reconstruction funds in the Kurdish controlled city of Irbil in Iraq through kickbacks from Kurdish contractors.
Won Tae-jae, spokesman for the ministry, said some U.S. newspapers distorted the bribery case as an incident compromising the Korea-U.S. alliance.
He said it remains unclear whether or not the money given to South Korean officers was from the U.S. reconstruction funds, called the Commanders' Emergency Response Program (CERP) or the $88-million South Korean-financed funds for the medical and rehabilitation programs.
``South Korean and U.S. authorities have closely consulted on this case from the beginning, and the U.S. has already recognized South Korean efforts to uncover this incident,'' Won told reporters. ``Therefore, it's not correct to say Seoul and Washington are in tension over this case.''
On May 5, the New York Times reported that three South Korean soldiers have been convicted of leading an extortion and bribery scheme in a reconstruction program in Irbil, financed with about $74 million of U.S. taxpayers' money, citing unidentified American and Korean officials.
The incident occurred when thousand of South Korean troops were being deployed to the northern Iraqi city for humanitarian and reconstruction missions, it said.
``The case has generated tensions with a staunch American ally and raised new questions about the scale of corruption in Iraq,'' said the U.S. newspaper.
The investigators found evidence that a captain, identified only by his surname, Park, was engaged in an elaborate shakedown of a Kurdish contractor, which was eventually awarded about $5 million in contracts, according to the report.
Park sometimes threatened to terminate contracts or offered to ease inspections or extend deadlines to receive the kickbacks, it said.
Park was ultimately given $25,000 in cash and a digital camera worth about $800, reports said. Captain Park was found guilty of demanding bribes from 10 local contractors, and received three years in a military prison.
Two of his co-conspirators ― Sgt. Major Kim and Major Lee ― received lesser sentences. All the convictions are under appeal.