The Democratic Party of Korea said Sunday it has launched an emergency ethics inspection into Jeonbuk Governor Kim Kwan-young. The party did not disclose the specific reason for the probe, but local political circles say it is related to allegations that the governor handed out "cash envelopes." Kim explained that he "gave the money for designated driver fees and retrieved it the next day."
"Party leader Chung Chung-rae ordered the ethics inspection unit to conduct an emergency probe after receiving a tip regarding Jeonbuk Governor Kim Kwan-young," the party said. It did not elaborate on the details of the tip.
Political observers believe the probe concerns Kim's reported distribution of tens of thousands of won in cash to young people in the province in November last year, ostensibly to cover designated driver fees. Channel A reported CCTV footage on the same day showing the governor handing envelopes to fellow diners at a restaurant.
The Jeonbuk Provincial Police Agency's Anti-Corruption and Economic Crime Investigation Unit said it received a formal complaint requesting an investigation into the cash envelope allegations involving the governor. The complaint reportedly alleges that Kim handed envelopes containing cash to young people at a restaurant in Jeonbuk Province.
In a meeting with reporters, Kim said, "At the end of November last year, I had dinner with young people in the province and paid for their designated driver fees." He added, "After giving the money, I felt uneasy and burdened, so I ordered its retrieval, and it was all collected back the next day." Kim said he distributed between 20,000 and 100,000 won to about 15 young people based on their residential areas and retrieved a total of 680,000 won the following day.
"I understand there is absolutely no problem with this," he said. "The restaurant owner who had the footage approached me, but since there was no problem at all, I did not meet with them."
Separately, Kim has also faced allegations that he rented a high-end penthouse from a construction businessman at below-market rates. A media outlet previously reported that Kim was living in a top-tier penthouse in Jeonju, Jeonbuk, where the jeonse (lump-sum deposit lease) market rate is between 600 million and 700 million won, by paying only a 200 million won deposit.
In response, Kim wrote on his Facebook page on December 31, "It is true that my residence is on the top floor (42nd floor), but it is far from luxurious, and due to low ceiling height, it is simply used as a closet and storage space." He added, "In addition to the 200 million won deposit, I have been paying monthly rent of 1.33 million won."