Anti-graft drive hits local governments

By Do Je-hae

Korea's latest anti-graft drive is impacting local government administrations. The Board of Audit and Inspection of Korea (BAI) announced Sunday that it will look into the financial management of 70 regional governments nationwide.

The announcement comes only two days after Prime Minister Lee Wan-koo declared an “all-out war” on corruption following a recent series of graft cases involving government officials and businessmen.

“All law enforcement bodies will join the anti-corruption drive to root out corruption as well as other irregularities that pose threats to national and economic development, as well as the livelihoods of South Koreans,” Lee said during a meeting with senior officials from law enforcement agencies on March 20.

Starting Tuesday, the nation’s supreme audit agency will search for potential financial irregularities at major local administrations, including Gyeonggi Province as well as Seoul, Incheon, Daejeon, Gwangju, Daegu, Ulsan, Busan and Sejong.

The inspection will conclude on May 1. The BAI will involve almost 100 officials for the inspection, a significant portion of the entire BAI workforce.

A second round of inspection will resume in mid-May, in cooperation with the Ministry of Government Administration and Home Affairs.

“Some municipalities are implementing projects without proper feasibility studies to fulfill election pledges of the local government chiefs,” a BAI statement said. “The inspections are aimed at eliminating mismanagement of funds and promoting their financial health.”

BAI Chairman Hwang Chan-hyun underlined the urgency of the forthcoming audits at a meeting with reporters on March 4. “We will look for excessive spending in local governments and education offices, and prepare necessary measures to curb such cases,” Hwang said.

The BAI will also charge its Special Investigations Bureau to look into corruption cases involving high-level government officials.

There are speculations that the BAI audits are in line with Cheong Wa Dae’s arduous anti-corruption drive.

During a meeting with senior aides on Jan. 2, President Park Geun-hye called for advancing the health of local administration finances.

President Park’s anti-graft campaign has targeted corporate slush funds, corruption in military procurement deals and state-financed foreign resource development projects.