Hyundai Motors Suspected of Offering 600 Million to Roh’s Camp

While investigating the “illegal fund-raising cases for the presidential election,” chief prosecutor of the Central Investigation Department of the Supreme Public Prosecutor’s Office, Ahn Dae-hee, said on Monday that Hyundai Motor Company had offered one billion won in the name of an official donation to Roh Moo-hyun’s camp of the Millennium Democratic Party during the presidential campaign last year – of which 660 million won was suspected to have been delivered in the name of 10 executives from the affiliated companies.

The prosecutors assumed that Hyundai Motor Co. had donated the money to Roh’s camp under the name of its company’s officers since the company might have exceeded the limit of subsidies permitted to enterprises. Prosecutors are under investigation on the legitimacy of the money and details of the donation.

Following SK Group and Samsung Group, Hyundai Motors is the third conglomerate to be under the prosecutor’s investigation, which is mainly focused on the donations to Roh’s camp that were offered under the name of subsidiary officers of the large companies.

However, Hyundai Motors asserted, “Every donation given to MDP, either in the name of the company or individual, had been done within the legal limitation and all of them thoroughly completed the year-end settlement of accounts.”

Starting this week, the prosecution has decided to summon the working-levels of finance divisions of those companies in question, including Hyundai Motors and Samsung, and interrogate them on the suspicions of illegal process for political donations.

The prosecution is also searching for an allegation of fund-raising against tens of companies that were known to have donated more that 100 million won to Roh’s camp last year, such as Dongyang group with 500 million won, Samyang group with 300 million won, Dongbu group with 200 million won, and Good-morning City with 100 million won.

Along with this, the prosecutors are also investigating the possible large donations with a similar method to the Grand National Party’s (GNP) then-candidate, Lee Hoi-chang’s camp.

In addition, the prosecution plans to push forward for seizure and search over the corporate restructuring and planning division of some companies that had previously refused to submit documents relevant to the presidential campaign funds.

Regarding this, when Rep. Lee Sang-soo of Uri Party, who had once worked as a chief of general affairs in MDP’s election planning committee during last year’s presidential election, appears on November 12 for investigation, the prosecution said it will receive documents with details of payment and expenses of donations and make an in-depth search on illegal fund-raising from him.

The prosecution also said they will call Rep. Kim Young-il, who was a floor leader of GNP during the election period, this coming Wednesday to interrogate him on the allegation of accepting 10 billion won of SK’s slush funds.

Wi-Yong Jung Jin-Kyun Kil viyonz@donga.com leon@donga.com