Prosecutors Secure Materials Related to Wirye New Town During Seongnam City Hall Search and Seizure

[Image source=Yonhap News]

[Asia Economy Reporter Kim Hyung-min] The prosecution investigating the lobbying and preferential treatment allegations related to the Daejang-dong development reportedly secured materials related to the Wirye New Town development project during a search and seizure at Seongnam City Hall on the 15th.

According to the legal community on the 17th, the dedicated investigation team of the Seoul Central District Prosecutors' Office (led by Deputy Chief Prosecutor Kim Tae-hoon) included materials related to the public housing construction project in Wirye New Town in the warrant when they searched Seongnam City Hall on the 15th regarding the Daejang-dong development allegations. In particular, the prosecution is said to have obtained the tablet PC of the head of the Cultural City Project Group, the department responsible for the Wirye New Town project.

The prosecution plans to focus on verifying suspicions related to Wirye New Town through this tablet PC and other materials, while also examining whether there are any Daejang-dong development-related documents left by former officials in charge.

Earlier, the prosecution requested an arrest warrant for former Planning Director Yoo Dong-gyu of the Seongnam Urban Development Corporation, including allegations that he received 300 million won from Jeong Jae-chang, a private developer of the Wirye New Town project. Jeong is a major shareholder of Wirye Asset Management and, along with key figures in the Daejang-dong development allegations such as lawyer Nam Wook and accountant Jeong Young-hak, proceeded with the Wirye New Town development project.

Jeong reportedly had disputes over the distribution of 15 billion won in profits secured through the Wirye New Town project with lawyer Nam and accountant Jeong. Jeong’s corporation, "Bomeedeun," filed a lawsuit in July demanding payment of 3 billion won in agreed money against Cheonhwa Dongin No. 5, owned by accountant Jeong.

Jeong is also reported to have assisted lawyer Nam in liquidating his assets through Cheonhwa Dongin No. 4, owned by Nam, before Nam’s departure to the United States.