State prosecutors on Friday raided several offices of the Korea Aerospace Industries Co. (KAI), the country's sole aircraft manufacturer, on allegations of corruption in a defense project.
Investigators from the Seoul Central District Prosecutors' Office searched the KAI headquarters in Sacheon, 437 kilometers south of Seoul, and its office in Seoul for evidence related to the allegations that it manipulated development funds and pocketed illicit gains in the process.
"We cannot tell you about specific charges or what is being investigated for now, but we are comprehensively looking at various issues, including the allegations of illicit gains from the development cost," a prosecution official said, declining to be named.
The raid came as the Moon Jae-in government has vowed to stamp out deep-seated corruption in the defense industry, long blamed for eroding the country's military capabilities.
KAI has been involved in various defense projects, including the development of the Surion utility helicopter and T-50 trainer jet.
In 2015, state auditors found KAI pocketed illicit money by inflating expenses in the development of the helicopter. (Yonhap)