KT Saenojo "Swift Investigation of KT Political Fund Case is Prosecutorial Reform" Urges Ministry of Justice

[Asia Economy Reporter Lee Gwanju] KT Saenozu (hereinafter Saenozu) requested a meeting with Minister of Justice Chu Mi-ae and urged a swift investigation into the 'KT Jeongcha Jigeum Act Violation Case.'

On the 22nd at 11 a.m., Saenozu held a press conference in front of the Government Complex Gwacheon in Gwacheon-si, Gyeonggi Province, stating, "Minister Chu, please promptly resolve the KT case with the determination that a swift investigation into the KT case is prosecution reform," and submitted a request for a swift investigation to the Ministry of Justice.

Last year, KT appointed President Koo Hyun-mo as the next CEO through its board of directors. After the regular shareholders' meeting in March, President Koo is expected to be officially appointed as CEO. However, President Koo is currently under prosecution investigation along with current KT Chairman Hwang Chang-gyu and others. In January last year, the Police Intelligence Crime Investigation Unit (now the Major Crime Investigation Division) sent President Koo, Chairman Hwang, and eight other KT executives to the prosecution with an indictment opinion on charges of violating the Political Funds Act. The police judged that they deposited illegal political funds amounting to 439.7 million KRW into the support accounts of 99 members of the National Assembly through so-called 'gift certificate laundering.'

Nearly a year has passed since the case was sent, yet the prosecution investigation is still ongoing. In the press release on this day, Saenozu criticized, "Aside from criticism of the KT board’s irresponsible behavior in 'conditionally appointing' the prosecution investigation target as the next CEO candidate, suspicions are being raised that the prosecution’s delayed investigation might lead to a 'lenient investigation,' and distrust in the fairness of the prosecution investigation is even being raised."

Saenozu continued, "If the prosecution investigation results in the indictment of President Koo after his appointment is finalized at the KT shareholders' meeting, KT will inevitably suffer significant management confusion, shareholder losses, and social public interest damage," and emphasized, "Although a petition requesting a swift investigation was submitted to the Seoul Central District Prosecutors' Office on the 17th, merely petitioning the prosecution for a swift investigation could delay the case handling again, and in that case, there is a sense of crisis that serious management confusion at KT could actually occur, so we decided to submit a request for a swift investigation to Minister Chu."

Finally, Saenozu reiterated, "The KT Political Funds Act violation case is a representative example of delayed investigations, which is a key prosecution reform task," and demanded again, "The case handling must be completed before the KT regular shareholders' meeting at the end of March to resolve the risks for KT’s current and next CEO."