Seoul Official Used Contractor's Corporate Card for Personal Spending

Audit Board Notifies Seoul City of Misconduct, Refers Ex-Official to Prosecutors Gifts Included Hotel Stays Costing Up to 1.4 Million Won a Night

Society|
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By Yoo Ju-heeginger@sedaily.com
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AI-generated image - Seoul Economic Daily Society News from South Korea
AI-generated image

"Don't feel burdened. The limit is 2 million won a month. There's nothing to worry about." In May 2025, a Seoul city division director identified as A received a corporate credit card issued in the name of a company run by an executive identified as B, just before signing a goods procurement contract with that firm. Over the following year or so, A used the card 51 times to buy expensive clothing, a gold necklace and other items worth a combined 21.03 million won.

The Board of Audit and Inspection released the findings on the 21st in an audit report titled "Public Sector Audit I on Entrenched Local Corruption," and notified the Seoul Metropolitan Government of the misconduct by A, who retired in June. The board also filed a criminal complaint with prosecutors against A and B on bribery and related charges.

According to the audit, B was a person with business ties to A's duties, holding continuing contracts with the Seoul city government, yet A accepted various forms of money and goods. In January 2025, A was provided with a stay at a hotel in Incheon costing 880,000 won a night, and in April of that year signed a service contract worth 240 million won with B's company. Three months later, in July, A stayed at a hotel costing 2.68 million won for two nights, with the bill also covered by B's company.

In May 2025, the Seoul city government signed a goods procurement contract worth 1.04 billion won with B's firm. Just before that, A received the company-issued corporate card from B and spent 21.03 million won on personal purchases across 51 transactions.

The gifts continued. In January, A received a laptop computer worth 3.78 million won from B as a present for A's child. A also accepted about 680,000 won worth of entertainment, including four meals and one round of golf.

The audit board called for measures such as restricting bidding eligibility for B's company under Article 31, Paragraph 1 of the Local Contract Act and related provisions. It also concluded that A's conduct warranted severe disciplinary action, but because A had already retired, the board ordered that the findings be kept as personnel records for use in decisions on reemployment and awards, and notified the Ministry of Personnel Management so the misconduct could be reflected in the vetting of candidates for public office. The board additionally filed a criminal complaint with prosecutors alleging that A and B received and provided money and goods in exchange for official favors.

Original reporting by Yoo Ju-hee for Seoul Economic Daily.

AI-translated from Korean. Quotes from foreign sources are based on Korean-language reports and may not reflect exact original wording.

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