Public attention has been focused on how North Korea’s successor Kim Jong-un will manage the slush fund his late father created and how to collect his own secret stash following Kim Jong-il’s death.
Most of all, it is speculated that Jong-un has already taken over or will take over his father’s slush fund of $4 billion .
It is said that Li Su-yong, keeper of the senior Kim’s secret coffers, returned to Pyongyang in March last year, when the power transition was accelerated, wrapping up his 30 years of living in Switzerland. Li is the chairman of the North Korean Joint Venture Committee. It is highly probable that Li orchestrated the transfer of the funds from father to son.
Li was the patron of the junior Kim when the latter studied in Switzerland from 1998 to 2000. It is also reported that based on that relationship Li has become chief of the North Korean Workers Party’s Room No. 38, an outlet managing the slush fund of the North Korean leader.
The junior Kim is highly likely to follow suit in creating a slush fund. Kim Jong-il boosted his slush fund via the export of weapons, issuance of forged dollars and trafficking of drugs through Room Nos. 38 and 39 of the Workers Party. Kim’s two close aides Jeon Il-chun and Kim Dong-un - have played the role as keepers of the money.
As a result, it is also predicted that the junior Kim will likely manage his secret funds, appointing Li as the chief of Room No. 38.
It is analyzed that the Jong-un is likely to be eager to collect “ammunition” or funds needed to solidify his power as speedily as possible.
North Korea has been taking a step back from exporting weapons and issuing fake greenbacks under harsh international pressure, although the two have been a major source of raising secret funds for the North Korean leader.
As a result, it is speculated that the new North Korean leader will divert profits from economic cooperation projects, which have been undertaken rapidly between North Korea and China, to slush funds
“For the time being, Jong-un is expected to follow suit in his father’s practices as it will take time to create his own methods for collecting and managing secret funds,” said professor Kim Yong-hyun of Dongguk University.