Any Government’s Involvement in Hanwha`s Takeover of Korea Life?

During the National Assembly audit of the Financial Supervisory Commission (FSC), the financial-sector watchdog, Rep Chung Hyung-geun of the Grand National Party (GNP) raised a controversy by claiming that Hanwha group has been successful in its bid to acquire Korea Life Insurance, thanks largely to active lobbying for the group by the presidential office of Chungwadae and ruling Millennium Democratic Party (MDP). The focus of the controversy was placed of the transcript of wiretapped telephone communication, which Chung produced as the evidence the MDP and Chungwadae`s involvement.

At the beginning of the meeting, Rep. Chung made an apology for his revelation thwarting the smooth operation of the parliamentary audit. But he still argued that his revelation was downright true. He said, "The MDP`s allegation that I have run a wiretapping group is groundless. I obtained the transcript from a high-ranking official of the National Intelligence Agency (NIS) and the document is available only to the highest-ranking officials in the NIS."

He added, "The source decided to made public the confidential transcript seeing Hanwha Group taking over Korea Life Insurance at a fire sale price. But I cannot reveal the identification of the source for his safety."

Rep Chung emphasized that the transcript was genuine, saying, "The contents of wiretapped communication appear on the computer screens but are not printable because of tight security measures at the NIS. NIS agents handwrite the contents of wiretapped communication when they report to the NIS director."

But MDP lawmakers criticized Chung for manipulating wiretapped communication, which did not even exist in an attempt to make rumors look real.

Rep. Chung said that chairman Kim Seung-yeon of Hanwha Group was reported about the lobbying plan while he was on a business trip to Germany last May. But Hanwha Group reputed Chung, arguing that Kim never went Germany this year."

Rep. Park Ju-sun of the MDP said, "Those who wiretap other people`s communication and who reveal the contents of wiretapped communication are subject to criminal punishment."

Regarding the refutation that Hanwha chair has never been to Germany unlike his allegation, Rep. Chung said that it was not his fault and the fault of the NIS. He failed to produce clear explanation. The NIS said in a statement that the national intelligence agency has never been involved in illegal wiretapping practices and Chung`s allegation is groundless."

Seung-Ryun Kim srkim@donga.com