Task force summons ex-senior gov't official, conducts raids against sitting lawmaker over alleged land speculation

All News 15:38 April 23, 2021

SEOUL, April 23 (Yonhap) -- A government task force said Friday it has summoned a retired high-ranking government official for questioning and searched two locations in connection to a sitting lawmaker in its widening probe into alleged land speculation by public officials.

The suspect formerly headed the National Agency for Administrative City Construction (NAACC), a state body in charge of building the administrative city of Sejong, 120 kilometers south of Seoul, and bought land there while in office.

The price of the land, which was purchased in his wife's name in April 2017, reportedly jumped from 107,000 won (US$96) per square meter in January 2017 to 154,000 won three years later.

Another piece of land bought by the same official following retirement in November 2017 is located close to the site of a planned industrial complex.

The task force, which was launched last month to investigate a massive land speculation scandal at the state housing developer Korea Land and Housing Corp. (LH), said the suspect was summoned for questioning Friday, nearly a month after a raid on his home, the NAACC, the Sejong municipal government and LH's Sejong office.

The former NAACC chief, a vice ministerial post, is the highest-ranking official to be summoned for questioning by the police-led task force as a suspect.

The Gyeongnam Police Agency said its investigators raided two companies Thursday in connection with land speculation allegations against Rep. Kang Gi-yun of the main opposition People Power Party.

One company, a manufacturer, was previously headed by Kang. His wife and son are the largest shareholders of the other company, which manufactures parts.

Police said the parts company is suspected of making 3 billion won in profits from selling a portion of a wharf it purchased in Jinhae, South Gyeongsang Province, in 2018 at half the appraised price.

Kang is the first sitting National Assembly member to be subjected to a raid by the task force. Four others are currently being investigated in separate cases.