[2020 National Audit] 'Optimus Involvement' Witness from Namdong Power Absent from Audit... Ruling and Opposition Parties 'Criticize'

National Assembly Audit of the Mountainous Area Command on the 22nd

Lee Ju-hwan, member of the People Power Party. (Photo by Yonhap News)

[Asia Economy Reporter Moon Chaeseok] "I spoke directly with the president of Korea South-East Power yesterday and also went through consultations between the standing committee secretaries, but since yesterday, the witness has been avoiding the audit by cutting off contact. Is this the attitude that an audited institution should have?" (Lee Juhwan, People Power Party lawmaker)

"This morning, the head of the National Assembly department in charge informed me that 'a member of the National Assembly cannot appear voluntarily just because they request it, and the issuance of a National Assembly access pass requires agreement between the secretaries and the chairman's approval.'" (Yoo Hyangyeol, President of Korea South-East Power)

An awkward situation unfolded regarding the attendance of Heo Jeongyeol, head of overseas investment at Korea South-East Power, as a witness in the National Assembly audit related to the Optimus Asset Management fraud case.

Korea South-East Power is investing in a Thai biomass power plant project involved in the Optimus Asset Management redemption suspension incident.

The Optimus Asset Management redemption suspension incident involved raising 1.2 trillion won from 2017 until June this year by claiming to invest in public institution accounts receivable, but the funds were used for acquiring insolvent companies and fund recycling, causing damage to about 2,900 investors.

At the afternoon audit of the National Assembly Industry, Trade, Energy, Small and Medium Business Committee on the 22nd, lawmaker Lee asked, "Was Team Leader Heo present?" and confirmed that he was not.

Lee asked, "I directly spoke with President Yoo and consulted between secretaries to verify the questions I raised during the committee audit on the 15th in detail, but since yesterday, the witness has been avoiding the audit by cutting off contact. What should we do?"

Committee Chairman Lee Hakyoung and the ruling and opposition secretaries tried to manage the situation.

Ruling party secretary Song Gapseok said, "We went through consultations among the secretaries, but I was not informed of this at all," and explained, "I spoke with opposition secretary Lee Cheolgyu about 20 to 30 minutes ago."

Opposition lawmaker Lee Cheolgyu told Chairman Lee, "It is right to criticize the behavior of public enterprise executives who turn off their phones and disappear when they are at a disadvantage in the National Assembly. We need to receive a reasonable explanation whether President Yoo instructed them not to answer or if it was an unauthorized absence."

Chairman Lee asked President Yoo, "Are you aware of this situation?"

President Yoo replied, "Yesterday, lawmaker Lee Juhwan requested Team Leader Heo's participation, and I decided to actively comply. However, I was informed that there has not yet been an agreement regarding Heo's entry into the audit venue."

He added, "I understand that the application for the National Assembly access pass issuance was not possible."

Chairman Lee asked, "Are you in contact with the employee?" President Yoo answered, "I just received a text message and have been in contact with him."

When Chairman Lee requested attendance again, President Yoo said, "Understood."