The Korea Herald

지나쌤

FTC chief nominee resigns over ethics

Sixth time a Park nominee has quit over ethical problems

By Korea Herald

Published : March 25, 2013 - 19:52

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Fair trade commissioner-designate Han Man-soo quit Monday over new slush fund allegations, adding to the list of fallen high-ranking nominees and further impairing President Park Geun-hye’s personnel appointment process.

Controversy continues to rage as her other choices, including police chief nominee Lee Sung-han and Korea Communications Committee chairman-designate Lee Kyeong-jae, also face growing opposition over their ethics or allegedly biased position.

Cheong Wa Dae sources said Han offered to withdraw his nomination after news reports of Democratic United Party lawmaker Kim Ki-sik accusing him of operating an overseas account for slush funds worth billions of won to evade tax.
Han Man-soo Han Man-soo

The presidential office reportedly learned of the fact last week and conducted its own investigation and reported the matter to the president.

Han’s resignation is the sixth in a series of high-profile appointment flops by Park. They include former nominees Kim Yong-joon for prime minister, Kim Jeong-hoon for science minister, Hwang Chul-joo for chief of the Small and Medium Business Administration, Kim Byung-kwan for defense minister and Vice Justice Minister Kim Hak-ui. Their reasons for withdrawing their nominations or resigning ranged from alleged ethical lapses to involvement in a sex scandal.

Park has been receiving flak for her secretive and slipshod screening of her designates. Critics say that the fact that Park’s choices have mostly been from among her associates and former acquaintances led her to overlook major allegations or suspicions that eventually brought them down.

Han, who has been attacked by the opposition as being “unfit” for the job, was most recently accused of running a secret account overseas to dodge taxes. The news reports said he allegedly made a belated report of his overseas account to the National Tax Service in 2011 following a revision to the relevant regulations and eventually paid up the unpaid taxes.

In a statement about his resignation, Han, a former Ewha Womans University professor and expert in tax, said he was stepping down as he was hindering the smooth launch of the government and that he would return to teach.

Lee Sung-han, who has been named to head the National Police Agency, and his wife are suspected of signing false contracts in purchasing real estate to evade tax in 2001 and 2003. Lee reportedly said that although he signed the contracts as drawn up by the realtor, it was not a conscious decision to evade taxes.

The DUP also opposes the designation of the Saenuri Party’s pro-Park member Lee Kyeong-jae to head the KCC, which is in charge of regulating broadcasters.

“We express grave concerns over the designation of Lee to a position that is of the utmost importance in creating a fair media culture,” said the party’s spokeswoman Rep. Kim Hyun.

Lee, as a then-lawmaker of the ruling party, reportedly stood at the vanguard of passing the media-related laws in 2009 that eventually resulted in the three biggest conservative newspapers getting the green light to open general programming TV channels.

Both are subject to the National Assembly confirmation hearings.

Following Han’s withdrawal, the DUP slammed Park and her appointment style.

“The responsibility of such slipshod personnel appointments falls on President Park who is the ultimate person with appointive powers. (Park) must apologize for the disaster and hold those in charge accountable,” said DUP interim leader Moon Hee-sang.

Saenuri Party members also demanded immediate remedy from the president.

“Not to mention how the system should be improved, but there should also be appropriate actions taken against the relevant officials (responsible) if necessary,” said the party’s secretary general Suh Byung-soo.

Park has been underscoring “professionalism and common philosophy for state administration” as the standards for her choices.

Such emphasis was seen to result in selection from a relatively restricted pool of figures, as shown in how a total of five minister-level appointees and two senior presidential secretaries have worked at the president’s think tank in the past.

Questions are now arising as well over the legitimacy of the presidential office for personnel affairs, established by the Park administration. The critics raise doubts about whether the members are able to voice their thoughts to the president considering how the committee is filled by Park’s aides, including chief of staff Huh Tae-yeol and senior secretaries on political affairs, planning, civic affairs and public affairs.

The rival parties, meanwhile, on Monday held a confirmation hearing for National Tax Service chief-designate Kim Duk-joong.

By Lee Joo-hee (jhl@heraldcorp.com)