Suhyup Corporate Card Controversy... 20 Million Won Spent Lavishly at Meat Restaurant Run by Chairman's Wife

After Chairman Noh's Inauguration, Suhyup Central Association and Suhyup Bank
Each Made Payments of 4.24 Million KRW and 15.9 Million KRW Respectively
Im Mi-ae: "Clear Conflict of Interest... Highly Inappropriate"

Reference photo to aid understanding of the article. [Photo source=Pixabay]

It has been revealed that the Korea Federation of Fisheries Cooperatives (Suhyup) and its subsidiary, Suhyup Bank, spent more than 20 million won on company card expenses at a meat restaurant in Songpa-gu, Seoul, operated by the wife of Labor Jin, the chairman of Suhyup.

According to the office of Im Mi-ae, a member of the National Assembly's Agriculture, Forestry, Livestock, Food, and Maritime Affairs Committee from the Democratic Party of Korea, since Chairman Labor Jin took office, Suhyup and Suhyup Bank have paid a total of over 20 million won at the restaurant using their corporate cards. The amounts spent by Suhyup and Suhyup Bank were 4.24 million won and 15.9 million won, respectively.

The largest expenditure occurred in October last year at the Suhyup Member Support Department. At that time, the department was confirmed to have paid 1.5 million won in a single transaction at the restaurant. Suhyup visited the restaurant 10 times in total, while Suhyup Bank visited as many as 53 times, each time paying with their corporate cards.

Compared to 2022, before Chairman Labor Jin took office, when there were 21 visits spending 6.47 million won, it is clear that the frequency of use and payment amount surged after Chairman Labor Jin’s inauguration. Therefore, it seems difficult to avoid criticism that the sales of the business run by Chairman Labor Jin’s wife were boosted using the budgets of the Korea Federation of Agriculture Cooperatives and Suhyup Bank. Lawmaker Im Mi-ae criticized, "Once you hold a public office, you must be more careful in everything. This is clearly a situation with a conflict of interest," adding, "It is a very inappropriate act."

Meanwhile, if a corporate card is used for personal purposes, it can be punished as breach of trust. Using a corporate card for personal use to gain financial benefits constitutes breach of trust, but considering the business relationship involves a higher level of trust than ordinary relationships, it is treated as breach of trust in business rather than simple breach of trust. Breach of trust in business is punishable by up to 10 years in prison or a fine of up to 30 million won, which is a heavier penalty than simple breach of trust.