Chairman of Nursing Hospital Suspected of Embezzling Billions Sent to Prosecution

Allegations of Embezzling Salary Differences After Overestimating Employee Salaries Since 2020

Asia Economy DB

The hospital director suspected of embezzling over 1 billion KRW while operating a nursing hospital has been referred to the prosecution.

According to the Chungnam Provincial Police Agency on the 20th, Mr. A (in his 60s), the director of the nursing hospital, was recently sent to the prosecution on charges of embezzlement in the course of business under the Act on the Aggravated Punishment of Specific Economic Crimes. In addition, Ms. B (female, in her 50s), who is suspected of colluding with Mr. A to divert corporate funds from the hospital, was also referred to the prosecution without detention on charges of violating the Electronic Financial Transactions Act (transfer of bank accounts).

According to Asia Economy's investigation, Mr. A, who operates a nursing hospital in the Buyeo area, is suspected of inflating the salaries of hospital employees from 2020 to last year and transferring the excess amount to his own bank account. He is accused of depositing the actual salaries to the employees and pocketing the difference.

He is also suspected of using funds that were supposed to be used only for patients' diaper fees and outpatient medical expenses for personal purposes from 2011 to last year.

Ms. B is accused of opening a bank account, receiving 150 million KRW of hospital funds from Mr. A, and then issuing a 10 million KRW check from the bank and handing it over to Mr. A.

It is known that Ms. B closed the account about 10 days after withdrawing the hospital funds transferred by Mr. A.

The amount embezzled by Mr. A through this method is revealed to be over 1 billion KRW.

A police official stated, "Mr. A and others were recently referred to the prosecution without detention."