Former Lawmaker Sohn Hye-won Sentenced to 1 Year and 6 Months in Prison in First Trial Over Mokpo Speculation Allegations

Purchased under the name of Changseongjang... Confidentiality recognized for documents obtained from Mokpo City Hall
Court: "An incident that undermined public trust in officials"
Avoided detention in court to guarantee right to defense

[Image source=Yonhap News]

[Asia Economy Reporter Yoo Byung-don] Former lawmaker Son Hye-won, who was prosecuted on charges of purchasing real estate under a borrowed name after preemptively obtaining information about Mokpo City's 'urban regeneration project plan' and informing a third party to purchase it, was sentenced to 1 year and 6 months in prison in the first trial. However, the court did not detain Son in court to guarantee her right to defense.

On the 12th, Judge Park Sung-gyu of the Criminal Division 4 at the Seoul Southern District Court recognized Son's guilt on charges of purchasing real estate under a borrowed name (violation of the Real Name Real Estate Act) and using information obtained through official duties to purchase real estate (violation of the Anti-Corruption Act), sentencing her to 1 year and 6 months in prison. Son's aide A, who acquired the relevant materials and purchased the guesthouse 'Changseongjang' in Mokpo under his daughter's name and had an acquaintance purchase real estate, was also sentenced to 1 year in prison.

Judge Park stated, "This case involves a lawmaker and aide, who must maintain moral integrity in their duties, using confidential information obtained during work to anticipate price increases and acquire real estate through name lending or have a third party acquire it, thereby damaging public trust in public officials. This is a serious corruption that must be corrected in our society, and since the defendants vehemently denied the crimes even in court, showing no sign of improvement, a prison sentence was inevitable," explaining the sentencing rationale.

Judge Park viewed that Son and A's purchase of Changseongjang under the names of their nephew and daughter violated the Real Name Real Estate Act. He judged, "The defendants led the transaction process and bore all the purchase and remodeling costs," concluding that they were the actual owners who purchased and registered the property under others' names. Additionally, the court ordered confiscation of Changseongjang and other properties acquired by Son and A.

After allegations of Son's real estate holdings under borrowed names surfaced, she had stated, "If it is under a borrowed name, I will return all assets to the state treasury," "I will stake all my assets and resign from the National Assembly," and "If asked to give my life, I will give that too."

Judge Park acknowledged the confidentiality of the 'urban regeneration project plan' materials obtained by Son from Mokpo City Hall and judged that she gained financial benefits by using secrets learned through official duties. Son's side argued that since Mokpo City's urban regeneration project had been widely reported in the media, the materials were not so-called 'confidential materials.'

However, Judge Park ruled, "If it becomes known that the Ministry of Land, Infrastructure and Transport will respond to the urban regeneration project contest and receive budget support according to these materials, it could cause price increases, so Mokpo City has a significant interest in keeping this information undisclosed externally," and "Since Mokpo City refused to disclose the information in response to an information disclosure request, the urban regeneration strategic planning materials are confidential."

[Image source=Yonhap News]

However, after the Ministry of Land, Infrastructure and Transport announced the urban regeneration project on December 14, 2017, the confidentiality was lost, and acquiring related real estate after the announcement was judged not to violate the Anti-Corruption Act.

The prosecution charged Son with purchasing real estate worth about 1.4 billion KRW, including 26 land parcels and 21 buildings within the Mokpo regeneration project area, under the names of her nephew, acquaintances, and the Crosspoint Cultural Foundation chaired by her husband, from May 2017 to January 2019, after preemptively obtaining Mokpo City's 'urban regeneration project plan.'

Additionally, the court found guilty B (62), a youth shelter operator who introduced Mokpo area real estate to Son, for stealing Mokpo City's urban regeneration project confidential materials and using that information to purchase real estate. However, since B admitted guilt and showed remorse, he was sentenced to 10 months in prison with a 2-year probation.

Meanwhile, after the sentencing, former lawmaker Son stated on social media, "It is difficult to accept the guilty verdict that unilaterally accepted the prosecution's claims," and announced her intention to appeal.