[Breaking] At Least 10 Suspected Victims of Livelihood Benefit Embezzlement... Local Authorities Find "No Irregularities"

Ledger Recorded for 10 Patients at In-Hospital Store
Benefits Manager Deferred Payments Since 2022
Three Patients Deceased; Account Returned to Family Upon Request
Buk-gu Confirms Benefits Management for Three Hospitalized Patients
"Difficult to Identify Deceased or Out-of-District Recipients"

Samgok-dong, Buk-gu, Gwangju A Nursing Hospital. Photo by Min Chanki

A nursing hospital in Gwangju is suspected of siphoning off livelihood benefits from incapacitated individuals, including victims of labor exploitation at salt farms in Sinan. The number of victims is believed to be at least 10. There are concerns that this crime, which involved stealing patients' livelihood benefits over an extended period, could go unnoticed, as some of the presumed victims have either passed away or no longer have registered addresses in Buk-gu.

According to Buk-gu District Office in Gwangju and A Nursing Hospital on November 27, the hospital’s convenience store has reportedly kept a ledger recording some patients’ transactions since late 2022.

This ledger was managed by B, who was in charge of handling the benefits for some patients at A Nursing Hospital. It was found that, until recently, B would pay the amounts used by patients at the store on a deferred basis the following month. If a patient is hospitalized long-term with dementia, developmental disabilities, or without a guardian, a benefits manager may be assigned.

However, while Buk-gu District Office stated that there were three incapacitated individuals at A Nursing Hospital, the ledger contained the names of 10 people. Among them, six were victims of labor exploitation at Sinan salt farms, and three out of the 10 have died. One victim recently had their bank account returned after a family member requested it, and two others have transferred to different nursing hospitals.

In addition, the transaction history for one victim at the convenience store showed that unpaid balances were carried over to the following month. A hospital representative said, “At the time, benefits manager B lent a card to the building owner, Park, which caused a delay in payment.” It was confirmed that this victim was not one of the incapacitated individuals officially registered in Buk-gu.

Despite evidence that a hospital staff member embezzled the bank accounts of livelihood benefit recipients, the investigation by Buk-gu only uncovered partial misappropriation of the benefits. The district office also failed to discover that B managed the benefits for seven individuals in addition to the three incapacitated persons registered in Buk-gu.

Regarding this, a Buk-gu official stated, “We cannot verify records for deceased individuals, and since the monthly livelihood benefit is around 500,000 won, we do not believe there was a significant amount to embezzle. We have investigated the list of hospitalized benefit recipients, but unless the patient’s registered address is in Buk-gu, it is difficult to confirm the misappropriation of livelihood benefits. For some cases where benefits were withdrawn under another person’s name and then returned, we plan to request supporting documentation.”