‘American arms dealer bribed Korean officials'
By Jun Ji-hye
Korean investigators have asked the U.S. Department of Justice and the Federal Bureau of Investigation (FBI) to provide banking records of a Korean-American arms dealer involved in a high-profile defense corruption scandal here, the prosecution said Monday.
Ham Tae-heon, an American citizen, is facing allegations that he bribed Agency for Defense Development (ADD) President Jung Hong-yong and former Joint Chiefs of Staff (JCS) Chairman Choi Yoon-hee in exchange for business favors.
The 59-year-old is known to be running an arms brokerage firm and an Army tank components manufacturer in Korea.
The prosecution's request to the U.S. is part of its efforts to secure evidence. A request from it for an arrest warrant for Ham was rejected by a district court Wednesday.
According to prosecutors, Ham admitted that he gave Jung's son tens of millions of won to help him cover the cost of studying abroad.
The ADD is a state-run defense research center. The money was given to his son soon after Jung was appointed ADD president in May last year, prosecutors said.
The prosecution has been investigating as to whether the money was given to Jung, a retired Army lieutenant general, in exchange for favors for Ham's business.
Regarding the allegations, Jung told reporters last week that his son just borrowed money from Ham, and that all the money was repaid afterward.
"My son borrowed 40 million won from Ham in July last year because my son needed a bank balance certification to study overseas. Then, my son repaid part of the money," he said. "I didn't know about this at the beginning. I learned of it in November of that year and repaid the rest myself."
When rejecting the prosecution's request for an arrest warrant, the Seoul Central District Court said that the nature of the money given to Jung's son was unclear ― namely it was not sure that the money was a bribe.
The prosecution said it will secure more evidence and submit a new request for a warrant.
Investigators recently questioned a son of the former JCS chairman as well after it confirmed that the son received millions of won from Ham.
The son denied that the money was given in expectation of some reciprocity. Ham also claimed it was just pocket money, and that he did not receive any business favors after giving the money, according to the prosecution.
The prosecution has been looking into account information of Choi's family members since he resigned from the position and was discharged from military service on Oct. 7.
One of Ham's companies is suspected of having been selected as a supplier to provide a fire-control system for K11 assault rifles despite its quality being suspect. The ADD had called K11 a masterpiece weapon developed in the nation, but the rifle was soon criticized for its poor performance.
Another of Ham's firms brokered a controversial deal in 2012 when Korea selected multi-mission AW159 Wildcat choppers made by AgustaWestland as part of the Navy's helicopter procurement project. Choi was serving as chief of naval operations when the deal was signed. In June, a rear admiral in the Navy, identified only by his surname Park, was indicted for fabricating evaluations of the helicopter in return for bribes.
Follow Jun Ji-hye on Twitter @TheKopJihye
By Jun Ji-hye
Korean investigators have asked the U.S. Department of Justice and the Federal Bureau of Investigation (FBI) to provide banking records of a Korean-American arms dealer involved in a high-profile defense corruption scandal here, the prosecution said Monday.
Ham Tae-heon, an American citizen, is facing allegations that he bribed Agency for Defense Development (ADD) President Jung Hong-yong and former Joint Chiefs of Staff (JCS) Chairman Choi Yoon-hee in exchange for business favors.
The 59-year-old is known to be running an arms brokerage firm and an Army tank components manufacturer in Korea.
The prosecution's request to the U.S. is part of its efforts to secure evidence. A request from it for an arrest warrant for Ham was rejected by a district court Wednesday.
According to prosecutors, Ham admitted that he gave Jung's son tens of millions of won to help him cover the cost of studying abroad.
The ADD is a state-run defense research center. The money was given to his son soon after Jung was appointed ADD president in May last year, prosecutors said.
The prosecution has been investigating as to whether the money was given to Jung, a retired Army lieutenant general, in exchange for favors for Ham's business.
Regarding the allegations, Jung told reporters last week that his son just borrowed money from Ham, and that all the money was repaid afterward.
"My son borrowed 40 million won from Ham in July last year because my son needed a bank balance certification to study overseas. Then, my son repaid part of the money," he said. "I didn't know about this at the beginning. I learned of it in November of that year and repaid the rest myself."
When rejecting the prosecution's request for an arrest warrant, the Seoul Central District Court said that the nature of the money given to Jung's son was unclear ― namely it was not sure that the money was a bribe.
The prosecution said it will secure more evidence and submit a new request for a warrant.
Investigators recently questioned a son of the former JCS chairman as well after it confirmed that the son received millions of won from Ham.
The son denied that the money was given in expectation of some reciprocity. Ham also claimed it was just pocket money, and that he did not receive any business favors after giving the money, according to the prosecution.
The prosecution has been looking into account information of Choi's family members since he resigned from the position and was discharged from military service on Oct. 7.
One of Ham's companies is suspected of having been selected as a supplier to provide a fire-control system for K11 assault rifles despite its quality being suspect. The ADD had called K11 a masterpiece weapon developed in the nation, but the rifle was soon criticized for its poor performance.
Another of Ham's firms brokered a controversial deal in 2012 when Korea selected multi-mission AW159 Wildcat choppers made by AgustaWestland as part of the Navy's helicopter procurement project. Choi was serving as chief of naval operations when the deal was signed. In June, a rear admiral in the Navy, identified only by his surname Park, was indicted for fabricating evaluations of the helicopter in return for bribes.
Follow Jun Ji-hye on Twitter @TheKopJihye
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