Prosecutors Conduct Search and Seizure at Yang Mun-seok's Residence Over Alleged Fraudulent Loan Charges

The prosecution conducted a search and seizure on Yang Moon-seok, a member-elect of the Democratic Party of Korea (Gyeonggi Ansan Gap), who is suspected of fraudulent loans involving Saemaeul Geumgo.

According to the legal community on the 21st, the Criminal Division 4 of the Ansan Branch of the Suwon District Prosecutors' Office (Chief Prosecutor Lee Dong-geun) conducted a search and seizure on April 14 at Yang's apartment in Seocho-gu, Seoul, his residence in Ansan, and Saemaeul Geumgo located in Daegu on charges including violation of the Act on the Aggravated Punishment of Specific Economic Crimes.

Candidate Yang Moon-seok of the Democratic Party, running for the 22nd National Assembly election in Ansan Gap, is expressing his thoughts after his victory was confirmed on the morning of the 11th at the election office in Sangnok-gu, Ansan-si, Gyeonggi-do.
[Image source=Yonhap News]

The prosecution is currently analyzing Yang's mobile phone and loan-related documents that were seized.

Yang is accused of deceiving Saemaeul Geumgo in April 2021 to obtain a loan of 1.1 billion won under the name of his university student daughter, purportedly for "business operating funds."

It was investigated that five months before the loan, in November 2020, Yang purchased an apartment in Seocho-gu, Seoul for 3.12 billion won, borrowing 580 million won from a private lending company during the process, and repaid this amount with the loan taken out under his daughter's name.

During his candidacy, Yang stated that "although it is an irregular method, it is not fraud," but he has also been reported for violating the Public Official Election Act (false statement) and is under investigation by the prosecution.

Meanwhile, the Gyeonggi Southern Provincial Police Agency is investigating allegations of "underreporting assets" by Yang, and the Ansan Sangnok Police Station is handling the investigation into Yang's election campaign manager, who is suspected of "illegal activities in the party primary."