Prosecutors Investigating Cheonggyecheon Restoration Project Scandal

It has been reported that the younger brother of a current lawmaker was expected to receive the right to advertise the distribution of redeveloped areas, worth two billion won, from a real estate developer in return for lobbying Seoul City Deputy Mayor Yang Yun-jae (56, under arrest).

Special Unit One at the Seoul Central Prosecution’s Office (Director: Yu Jae-mahn), which has been investigating irregularities surrounding the Cheonggyecheon Restoration Project, received circumstantial evidence regarding the case on May 17. The agency now is looking into whether the younger brother of Grand National Party lawmaker, identified as “A,” was asked to lobby the vice mayor to ease the regulations on the floor area ratio of the 32nd district of Se-un commercial building by the president of a real estate developing company, Jang.

Prosecutors have made an all-out effort to reveal whether “A” in effect asked deputy mayor Yang for a favor, and promised to provide money and goods for the favor.

Allegedly, the head of an advertisement company, “A,” asked deputy mayor Yang to increase the floor area ratio of the 32nd district of Se-un commercial building from 789 percent to 959 percent, and to shorten the period of assessment. In return for the favor, Jang promised “A” the right to advertise the distribution of redeveloped areas, worth two billion won.

The prosecution office reportedly obtained memos containing such content during the confiscation and search process related to the recent Cheonggyecheon scandal.

Meanwhile, prosecutors are tracking the unidentified resources of a total of 200 million won found in the account books of a design outsourcing company “U” established by deputy mayor Yang, and two bank books using borrowed names found in Yang’s office.

Keuk-In Bae Jin-Young Hwang bae2150@donga.com buddy@donga.com