hankyoreh

By Kim Seon-sik, staff reporter

Former South Korean president Chun Doo-hwan, 82, his second son Chun Jae-yong, 49, and associates are reportedly opposed to the prosecutors releasing the investigation records that contain key information related to Chun Doo-hwan’s slush funds. This was the reason offered by the prosecutors when they told the Hankyoreh they could not release the records requested of a 2004 investigation into alleged tax evasion by Chun Jae-yong.

On June 12, the Seoul Central Prosecutors’ Office notified the Hankyoreh that it had decided not to disclose the information the paper had requested.

“Chun Jae-yong, who is connected with the lawsuit, stated in writing that he does not consent to releasing the records,” the notice from the prosecutors said. Noting that Chun Doo-hwan, Lee Gyeong-ro, Hong Jeong-nyeo, Chang Hae-seok, and Jo Il-cheon had also all stated in writing that they did not consent to the records being disclosed, the prosecutors concluded that they could not release the records of the investigation into charges of tax evasion against Chun Jae-yong.

Jo Il-cheon, 56, is Chun Doo-hwan’s nephew, while Hong Jeong-nyeo, 61, is the wife of Chun Doo-hwan’s brother-in-law Lee Chang-seok, 62. Hong was referred to as “Mrs. Fifth Republic,” a nickname that suggested she was in charge of managing funds for the Fifth Republic of South Korea. Lee Gyeong-ro, 56, was formerly the vice chairman of Hanhwa Life Insurance. During the investigation of Chun Doo-hwan’s slush fund in 1995, Lee was questioned on suspicions that he had been responsible for concealing the illicit funds. Jang Hae-seok, former Blue House treasury official, was in charge of managing Chun Doo-hwan’s borrowed-name bank accounts.

On May 20, the Hankyoreh asked the prosecutors to release all of the records of the 2004 investigation of the 7.36 billion won (US$6,52 million) of bonds in the possession of Chun Jae-yong, including reports about how investigators traced the bonds and interrogation of and testimony from suspects and witnesses. This investigation revealed that Chun Jae-yong’s bonds were actually Chun Doo-hwan’s slush fund. The Hankyoreh argued that the public has the right to know about Chun Doo-hwan’s slush fund.

“The Criminal Procedure Act does not encourage disclosing these records when a party to the case does not provide their consent,” said a source with the prosecutors who spoke on condition of anonymity. “Chun Jae-yong’s submission of a written request not to disclose the records was a major reason for restricting disclosure.”

Another reason that the prosecutors gave for not being able to release the records of the investigation is that they contain a variety of information that could defame the witnesses or infringe upon their privacy. Such information includes financial transactions, academic records, employment records, family relationships, and assets.

This conflicts with recent claims by the prosecutors that they are examining ways to publish the investigation record of cases that attract strong public interest.

In a meeting of a committee for deliberating prosecution reform held on May 1, the prosecutors said that they are currently reviewing the idea of publishing investigation records after the final decision has been made for special investigations and other cases about which there is a high degree of public interest.

With the collection period for the 167.2 billion won (US$148.14 million) in Chun’s unpaid penalties set to expire in October, suspicions about Chun’s hidden assets have become a subject of public interest. Despite this, prosecutors have been unable to make a forward-looking decision.

“Clause 2 of Article 59 of the Criminal Procedure Act, which the prosecutors gave as the grounds for their decision not to disclose the records, says that restriction ‘may’ be placed on requests for information disclosure when a party to the case does not provide their consent. It does not say that they ‘must’ be so restricted,” said Park Ju-min, secretary general for MINBYUN-Lawyers for a Democratic Society. “It is not appropriate to decide not to release investigation records that are of major value to the public on the pretext of protecting personal information. Not only is this information now nearly 10 years old, but also Chun Jae-yong and the other people who refused to provide consent are the very ones who are suspected of being complicit in managing Chun’s slush funds.”

The Hankyoreh is planning to work with MINBYUN to file a motion at the Seoul Administrative Court on June 17 to force the Seoul Central Prosecutors’ Office to reverse its decision to not disclose the information that the Hankyoreh had requested.

Please direct questions or comments to [english@hani.co.kr]