Prosecution Indicts Song Young-gil on Charges of Distributing Cash Envelopes... "Pinnacle of Money Politics Crime"

Received about 763 million KRW in sponsorship funds... Distributed 20 envelopes with 3 million KRW each
Prosecutors: Illegal political donations in exchange for promoting 'businessman issues' pledges

Former leader Song Young-gil has been indicted in connection with allegations of distributing cash envelopes during the 2021 Democratic Party of Korea leadership election.

Song Young-gil, former leader of the Democratic Party of Korea, who is suspected of distributing money envelopes during the party's presidential election, is attending the warrant hearing held on the 18th of last month at the Seoul Central District Court in Seocho-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

The Anti-Corruption Investigation Division 2 of the Seoul Central District Prosecutors' Office (Chief Prosecutor Choi Jae-hoon) on the 4th indicted Song on charges of violating the Political Parties Act and the Political Funds Act related to the distribution of money during the party leadership election, as well as violations of the Political Funds Act and the Act on the Aggravated Punishment of Specific Crimes (bribery) concerning the sponsorship funds of the nonprofit organization Meokgosaneunmunje Research Institute (Meoksayeon).

According to the prosecution, since 2020, Song allegedly operated Meoksayeon as an external organization supporting and assisting his political activities, receiving illegal political funds and bribes amounting to 763 million KRW from seven businesspeople, including Park Yong-ha, former chairman of the Yeosu Chamber of Commerce and Industry, under the pretext of sponsorship funds to cover various political activity expenses.

He is also accused of raising "off-the-books election funds" through his campaign organization to win the 2021 party leadership election and distributing cash envelopes to campaign workers and voters, receiving a total of 60 million KRW in illegal political funds and distributing 66.5 million KRW in money and goods.

The prosecution judged that Song transformed Meoksayeon into a private political external organization used as a channel to receive political funds and bribes from businesspeople, and that he was the pinnacle and greatest beneficiary of collusion between politics and business and money politics by receiving and distributing large-scale funds to secure his election as party leader.

Song is reported to have actively participated in the overall crime by promoting business-related issues of businesspeople who provided illegal political donations through Meoksayeon as election pledges, visiting their workplaces, managing them through separate dining meetings, and actively handling requests related to business issues from high-value donors.

Furthermore, the prosecution found that Song conspired with Kang Rae-gu, former standing auditor of Korea Water Resources Corporation, to receive 10 million KRW in off-the-books election funds from independent lawmaker Lee Sung-man for the campaign regional headquarters, and provided a total of 6.5 million KRW as activity expenses to 10 regional headquarters chiefs in two installments between March 30 and April 11, 2021.

It was also concluded that Song received 50 million KRW in election funds from Park Yong-su, a former aide, and provided 20 cash envelopes totaling 60 million KRW to lawmaker Yoon Kwan-seok for distribution to members of the National Assembly. The prosecution noted that after distributing the cash envelopes, Song narrowly won the party leadership election by a margin of 0.59% over the second-place candidate.

The prosecution is currently summoning lawmakers who received the cash envelopes one by one for investigation to further probe the specific usage of the envelopes provided to incumbent lawmakers.