Ex-President’s Elder Brother Implicated in Lobbying
By Kim Rahn
Staff Reporter
Former President Roh Moo-hyun's brother is suspected of having lobbied to facilitate the sale of Sejong Securities to Nonghyup in 2006.
The elder brother, Roh Geon-pyeong, admitted to contacting then-Nonghyup head Chung Dae-kun at the request of former Sejong Capital CEO Hong Ki-ok and two subordinates of the former President. He was banned from leaving the country, but prosecutors have yet to ascertain whether he took bribes.
The prosecution confirmed that the former President's two ``friends'' and Hong sought the elder brother's influence in facilitating the sale of Sejong to Nonghyup at a higher price. The former president's brother was close to the then-Nonghyup chairman.
The two aides ― former President Roh's high school friend Chung Hwa-sam and his brother, Chung Kwang-yong ― were arrested Monday for receiving three billion won from Hong.
According to the prosecution, Hong sought influential figures to lobby for the deal and the Chung brothers introduced the senior Roh to him in June 2005, six months before Nonghyup announced the acquisition.
The former President's brother first denied the allegation, saying the Chung brothers had sought a favor from him but he refused. But he later admitted to calling the former Nonghyup head after the Chung brothers and Hong visited him, telling him that his acquaintances would contact him soon.
Prosecutors said the elder Roh would not be arrested for just making a phone call, but added they were looking into his bank accounts to see whether he received bribes in exchange for the favor. They confirmed the three billion won the Chung brothers took in February 2006 was distributed to numerous borrowed-name bank accounts.
The prosecution plans to summon the Roh if it secures concrete evidence. He left his house in Gimhae, South Gyeongsang Province, Monday afternoon, saying he would go fishing and is currently out of contact, according to his wife. She said that he said he would tell the truth if the prosecution summoned him.
Prosecutors are also probing whether Hong lobbied the former Nonghyup chief through other channels.
In a related case, they are investigating s stock deal by Park Yeon-cha, a strong supporter of the former President, who allegedly raked in 10 billion won after buying Sejong stocks before the acquisition and reselling them after it. Suspecting Park exploited insider information to reap the gain, prosecutors are probing whether other aides to Roh also did the same.