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Wednesday, July 4, 2012

Investigation may touch on President's campaign funds


Investigation may touch on President's campaign funds
By Na Jeong-ju

The prosecution will summon a ruling party lawmaker who worked as a key campaigner for President Lee Myung-bak during the 2007 presidential race for questioning Thursday as part of a widening investigation into a corruption scandal involving savings banks.

The summons for Chung Doo-un, a three-term lawmaker of the Saenuri Party, comes after Lee’s elder brother and former National Assembly vice speaker, Lee Sang-deuk, was quizzed over bribery allegations.

The elder Lee faces suspicions that he received at least 600 million won ($525,000) from Lim Suk, chairman of Solomon Savings Bank, on several occasions from 2007 to 2010. Rep. Chung is known to have arranged the first meeting between the elder Lee and Lim after President Lee declared his presidential bid in the summer of 2007.

“Lim told us that Chung was there when he gave money to Lee Sang-deuk,” a prosecutor told reporters. “Chung himself is also suspected of having taken money from the chairman just ahead of the presidential election.”

The remarks suggest that the money from Solomon was part of campaign funds, which were managed by the elder Lee, a former six-term lawmaker.

Chung became estranged from the Lee family after he openly criticized the elder Lee and his aides in 2008 for meddling in the selection of people for high-ranking positions at the administration and state-run firms as well as ruling party candidates for elections.

The questioning of Chung is expected to focus on how Lee’s campaign team collected and used campaign funds. On Wednesday, prosecutors told reporters that they have secured clues suggesting that Kim Hak-in, former chairman of the Korea Broadcasting Art School, might have provided 200 million won to the elder Lee ahead of the election. Kim is now on trial on separate bribery charges.

Kim told investigators that he first met the elder Lee through Chung.

According to the prosecution, Lim, the Solomon chairman, also said he provided illegal political funds to Rep. Park Jie-won, the floor leader of the main opposition Democratic United Party. After interrogating Chung, the prosecution will issue a summons for Park as well, to clear the bribery suspicion, investigators said.

Solomon is among several troubled lenders that reportedly bribed a number of politicians and government officials to avoid audits and crackdowns under the Lee administration. Lim told prosecutors that he gave money to the elder Lee, but it was not in return for his assistance.

The elder Lee was sent home early Wednesday morning following a 16-hour-long interrogation. Besides the money from Solomon, he was questioned about the nature of the 150 million won he took from Kolon Group and the 700 million won found early this year in a bank account that belonged to one of his aides.

The prosecution plans to request a court warrant as early as this week to take him into custody for further questioning, prosecutors said.
jj@koreatimes.co.kr

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