Regulator to probe Shinhan Financial Group head

By Kang Seung-woo

Staff reporter

The nation's financial watchdog said Monday it will investigate allegations that Shinhan Financial Group Chairman Ra Eung-chan violated the law regarding real-name financial transactions several years ago.

The move came a year after the head of the nation's third largest financial group was cleared of bribery charges related to Park Yeon-cha, a businessman and former financial supporter of the late former President Roh Moo-hyun.

"As soon as we collect related documents, we will launch an investigation into him," a Financial Supervisory Service official said in a press conference.

"After discussions with the Financial Services Commission, we plan to ask for documents from administrative agencies linked to the issue."

The 71-year-old chairman was investigated by the prosecution last year after transferring 5 billion won ($4.18 million) in 2007 to Park, a former CEO of shoemaker Taekwang, because the money was withdrawn from an account registered to another person.

Ra was cleared of any suspicious activity; while Park is now serving a prison term for bribing Roh's family.

Rep. Park Jie-won, the floor leader of the main opposition Democratic Party, claimed Friday that the Yeongpo group, a fraternity of high-ranking officials from the Yeongil-Pohang area in North Gyeongsang Province, influenced the financial watchdog not to investigate Ra at the time.

The official refuted this saying, "As the financial authorities did not have any detailed information, we could not start an investigation."

He added that when the FSS asks for financial transaction records from financial institutions, it needs information such as personal data and transaction terms, but at the time it did have this.

The official blamed prosecutors for mishandling their probe into Ra.

"When the prosecutors ended the case internally last year, they informed the National Tax Service of the investigation results, but not us," he said.

"As such we were not in a position to open an investigation into Ra's alleged violation of the law."

Violating the real-name financial transaction law is punishable by up to five years in prison or a fine of up to 30 million won.

Ra has been at the helm of Shinhan Financial Group, South Korea's third-largest financial services company, since 2001.

금감원, 신한금융지주 회장 조사

금융감독원은 월요일 수 년 전 금융실명제법 위반 의혹과 관련 신한금융지주 라응찬 회장을 수사를 할 것이라고 밝혔다.

이 같은 조치는 국내 세째 거대 금융 그룹인 신한그룹 라 회장이 고 노무현 전 대통령의 금융 지원자였던 사업가 박연차 회장으로부터 뇌물을 받아 조사받은 지 1년만이다.

금감원 관리는 월요일 기자회견에서 "관련 문서를 취합하는대로 , 라 회장의 혐의 조사에 착수할 것"이라며 "금융감독 위원회와 논의 후, 우리는 이 문제와 관련된 행정기관으로부터 문서를 요청 할 예정"이라고 밝혔다.

라 (71)회장은 2007년 타인 명의로 인출됐다는 이유를 들어 전 태광실업 박연차 회장에게 50억 원 (미화 약 4억1800만 달러)을 송금한 혐의로 지난 해 검찰 조사를 받았으나 무혐의 처분을 받았다. 박 씨는 현재 고 노무현 전 대통령 가족에 뇌물을 건넨 죄목으로 징역형을 살고 있다.