Prosecution must rearrange investigation on corruption

Keangnam Enterprise Chairman Sung Wan-jong, who had been under investigation of the prosecution on alleged irregularities involved in the natural resource development project, was found dead some 10 hours after he left his home on Wednesday when a warrant hearing was scheduled. Sung contended his innocence in a note that he left home. He exceptionally held a press conference on the previous day to plead his innocence. Sung also revealed that he was a supporter of President Park Geun-hye during the 2007 primary of the Grand National Party (the predecessor of the Saenuri Party) between former President Lee Myung-bak and Park, giving an impression that he would not bear the blame alone. The prosecution should have sensed signs of Sung`s abnormality and taken measures in advance, but it failed.

The charges that the prosecution had laid on the former entrepreneur to issue an arrest warrant were accounting fraud and embezzlement for slush fund. Reportedly, Sung manipulated the firm’s financial statement in the process of taking 80 billion won (74 million dollars) in government loans, which were to be paid only when the project turned out successful, under the pretext of overseas natural development. Prosecutors tried to arrest him first and investigate corruptive allegations around the natural resource diplomacy, but Sung’s suicide led the investigation into a corner. Public Prosecutor General Kim Jin-tae has emphasized "investigation that cuts out only the affected area like a surgical operation," and "probe that saves people or firms under investigation." However, Sung committed suicide and Keangnam Enterprise filed for receivership during the prosecutors’ investigation. The prosecution needs to ask itself whether the probe has been going in the direction as they proclaimed.

Although Sung worked as an advisor to the presidential transition committee right after former President Lee Myung-bak was elected, there is grey area to label him as pro-Lee. As a self-made businessman, Sung had contacted any political figures regardless of pro-Lee or pro-Park, who can help his business. Reportedly, the former chairman strongly protested after he was categorized as pro-Lee businessman and became the first target of investigation on the irregularities surrounding the natural resource diplomacy. The bereaved family has not made public the suicide note. If a list of political figures that the late chairman had lobbied is included in the note, the investigation may take an unexpected turn.

The prosecution launched a probe on the allegations on corruption and irregularities in the natural resource diplomacy after Prime Minister Lee Wan-goo waged a war against corruption last month. There has been no tangible result until almost one month passed. In any case, the prosecution should not give an impression that this is a vindictive investigation against the former administration. Prosecutors must reorganize them to cut out the cancer lump of irregularities and corruption in a precise manner without political consideration.