Konkuk University ordered to dismiss board chairman

By Bahk Eun-ji

The Ministry of Education (MOE) said Thursday that it has filed a complaint against Kim Kyung-hee, chairman of the board of Konkuk University, for accounting fraud and breach of trust.

It also ordered the school to dismiss the board chairman. Its decision came after it audited the university in November.

The board chairman is accused of having inflicted 24 billion won in losses on the school by signing a contract allowing tenants of a residential building for senior citizens to use annexed sports facilities for free. The school has ownership of the large shopping and multipurpose residential building.

The chairman also allegedly allowed the alumni association to use 2,000 square meters of land for free, causing additional losses for the school.

Kim also fabricated accounting entries by overstating payments to a construction company under contract to build an annex building to the middle school affiliated with the university.

KonKuk’s former president, Kim Jin-kyu is also suspected of having embezzled 200 million won and signing a service contract with subcontractors without board approval.

The MOE also requested that strong disciplinary action be taken against 14 employees involved in the case and the issuance of warnings to 135 other employees.

Konkuk University said it will ask the ministry to conduct a review of the results of its audit of the school.