Pressure Put by Cheong Wa Dae in Hanhwa’s Takeover of Daehan Life

An argument has been made stating that there was pressure from Cheong Wa Dae against the backdrop of selling Daehan Life to Hanhwa Group during the Kim Dae-jung administration.

In his book “Principle is Reform” published on Tuesday, Lee Jong-koo, auditor of Financial Supervisory Service (FSC), revealed, “The issue raised in the National Assembly 2002 Parliamentary Audit that ‘Park Ji-won, former presidential secretary called Yoon Jin-sik, Minister of Finance and Economy at that time (former head of the Ministry of Commerce, Industry and Energy) and asked about selling Hanhwa to Daehan Life,’ makes circumstantial sense.”

In a meeting with some reporters this day, auditor Lee said, “Hanhwa Group has a record of spending three trillion won worth of public funds, and the fact that the money to buy Daehan Life was raised through window dressing makes Hanhwa’s takeover unconvincing. I am sure my belief about pressure put by Cheong Wa Dae in this takeover scenario is precise.”

Serving as director general of FSC`s financial reform planning and coordination bureau and chief of the Financial Policy Bureau at the Ministry of Finance and Economy from 1999 to 2001, auditor Lee was responsible for the administrative work of selling Daehan Life and was the standing commissioner of FSS.

In a phone interview with a Donga Newspaper reporter, former minister Yoon Jin-sik said, “I attended a public fund special committee meeting in September 2002, but I never received that kind of phone call.” Hanhwa managing director Nam Young-sun also said, “Auditor Lee’s argument has been subject of discussion and is a groundless rumor.”

Auditor Lee, in his book, also said, “President Roh Moo-hyun settled the injection of public fund for the restructuring of National Federation of Fisheries Cooperatives politically when he served as the minister of Marine Affairs and Fisheries,” and indicated, “This is a significant event which reflects another side of President Roh who insists upon principles and morals.”

He added, “Uhm Nak-yong, former head of the Korea Development Bank, was replaced after two months when he refused a request by Lee Ki-ho, former presidential economic secretary and deputy prime minister in Cheong Wa Dae, for financial aid to Hyundai in December 2000.”

Auditor Lee, an economic officer who passed the 17th public administration test, applied for public nomination in the Grand National Party to run for general election this April and plans to resign from FSS this February.

witness@donga.com