Ssangbangwool Vice Chairman "Lee Hwa-young handed a note to make false statements in court"

"Lee Received Confirmation of North Korea Invitation After Covering North Visit Expenses"

Testimony from the vice chairman of Ssangbangwool Group in court revealed that former Gyeonggi Province Deputy Governor Lee Hwa-young, who is on trial for bribery charges, coerced false testimony by giving notes instructing 'to make false statements.'

At the 23rd hearing of Lee’s case involving bribery under the Act on the Aggravated Punishment of Specific Crimes and violations of the Political Funds Act, held on the 24th at the Suwon District Court Criminal Division 11 (Presiding Judge Shin Jin-woo), witness Bang Yong-chul, vice chairman of Ssangbangwool, testified, "There was a trial either on the day former chairman Kim Seong-tae was arrested or the following day, and Lee Hwa-young wrote a note telling me to make false statements and gave it to me while sitting next to me."

Ewhayeong Kintex CEO attending the pre-arrest suspect interrogation hearing
[Photo by Yonhap News]

Vice Chairman Bang is also on trial alongside former Deputy Governor Lee, charged with giving bribes and political funds totaling over 300 million won through Ssangbangwool corporate cards and vehicles in exchange for support of inter-Korean projects.

When asked by the prosecutor whether he had recently received any proposals in court from Lee to make false statements since his detention, Bang replied, "Lee Hwa-young gave me a note saying that he had also passed the content (false statements) to Kim Seong-tae and told me to remember it. I read it and returned the note." Regarding this, the prosecution is also reported to have secured testimony from former Chairman Kim that Lee gave him a similar note while in detention.

Bang, who initially denied the bribery charges early in the trial, changed his stance around January when former Chairman Kim, who was fleeing abroad, was extradited to South Korea, and has since admitted to the charges.

When asked why his position was completely aligned with Lee before confessing to the crime, Bang said, "Before the prosecution investigation, I went to a lawyer’s office and met with Lee Hwa-young to discuss how to testify." Regarding the specific details of coordinating their statements, he explained, "We agreed that the corporate card from Ssangbangwool was given to a friend of Lee Hwa-young named Mr. A, not to Lee himself, as instructed by Chairman Kim Seong-tae."

Upon hearing Bang’s testimony, former Deputy Governor Lee, seated in the defendant’s chair, responded incredulously, "What?"

Former Ssangbangwool Chairman Kim Seong-tae Arriving at Incheon Airport [Photo by Yonhap News]

During the trial, testimony also supported allegations that the 3 million USD cost for then-Gyeonggi Province Governor and current Democratic Party leader Lee Jae-myung’s visit to North Korea in 2019 was paid on his behalf. The prosecutor asked, "North Korea initially demanded 5 million USD but finally requested 3 million USD, and Ssangbangwool paid the money. Was it agreed that Lee Jae-myung would be invited in early 2020, when elections were held?" Bang replied, "Yes. We received almost a definite answer."

Bang partially corrected his previous statement made during defense counsel’s questioning in a prior trial, where he said the 5 million USD sent to North Korea was the smart farm project fund that Gyeonggi Province was supposed to provide and was also the economic cooperation contract money between Ssangbangwool and North Korea. He clarified, "What I said last time about the contract money was just my and the chairman’s thought, 'What if it’s contract money?' But the 5 million USD was indeed a payment on behalf of someone else. Through Lee Hwa-young, an opportunity arose to make the payment, which raised the level of the vague inter-Korean project. No company without any knowledge of inter-Korean affairs would just give 5 million USD as a contract payment on its own."

Regarding the bribe to former Deputy Governor Lee, Bang also answered, "Rather than obtaining specific business rights, we expected to receive synergy and assistance through Lee Hwa-young once North Korean sanctions were lifted."

Lee’s defense counsel stated, "There are new contents in today’s prosecution questioning, so it is difficult to proceed with cross-examination immediately," and therefore, the defense did not conduct cross-examination of Vice Chairman Bang.