By Kim Tae-jong
The prosecution said it has secured testimony that former lawmaker Suh Gap-won took 30 million won ($27,700) in bribes from the vice chairman of the corruption-ridden Busan Mutual Savings Bank.
Kim Yang, vice chairman of the bank, testified that he handed over a shopping bag containing the cash to the former lawmaker of the main opposition Democratic Party in Suncheon, North Jeolla Province, in December 2008, an official from the Supreme Prosecutors’ Office said Tuesday.
It is the first time that a politician has been identified for possible involvement in the corruption-ridden bank scandal in what is seen as a signal for widening the investigation into other lawmakers.
Kim has been placed in custody for illegally lobbying politicians and government officials.
The prosecution suspects Kim bribed Suh, 49, to seek favors for the bank’s 55-billion-won investment in an apartment construction project in Suncheon, the constituency of the former legislator.
It has yet to decide whether to summon Suh for questioning.
Suh strongly denied the allegation, claiming that he has never met Kim.
“I have never seen Kim in person. Neither have I contacted him. I’ve never taken money from him,” Suh told a local media outlet, Tuesday.
Suh lost his National Assembly seat last January as the Supreme Court confirmed his conviction on bribery charges. Suh was fined 12 million won for receiving illegal political funds from former Taekwang President Park Yeon-cha. Under the Election Law, those who are convicted of receiving illegal political funds and fined 1 million won or more must forfeit their elected position.
In the meantime, Rep. Ooh Che-chang of the Democratic Party claimed Tuesday that executives of the bank have attempted to stash proceeds from sales of the bank’s properties at lower-than-market prices following its business suspension in February.
Ooh said that the bank attempted to sell its rights to develop an airport in Cambodia at a price far lower than market value.
“The bank tried to rush the sale of its airport development when the prosecution started its investigation,” the lawmaker said.
The investigation into the troubled savings banks has been expanded to confirm the involvement of lawmakers and government officials, following the resignation of Board of Audit and Inspection auditor Eun Jin-soo, who was found to have taken bribes from Busan Mutual and worked as a “lobbyist” for the lender.