The Korea Herald

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Chun’s nephew arrested over assets under borrowed names

By Korea Herald

Published : Aug. 14, 2013 - 21:10

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Prosecutors said Wednesday that they have arrested a nephew of former President Chun Doo-hwan for questioning as part of their efforts to find concealed assets of the former military dictator convicted of taking bribes while in office in the 1980s.

Lee Jae-hong, 57, a son of Chun’s elder sister, is accused of managing Chun’s properties worth 6 billion won ($5.36 million) hidden under borrowed names while running a mid-sized landscaping company, prosecutors said.

Chun was ordered by the nation’s top court in 1997 to return to state coffers some 220 billion won he illegally accumulated through bribery from big businesses during his military rule from 1980 to 1988. Chun, who seized power through a coup, has yet to return some 167.2 billion won to the state.

The arrest came as the prosecution suspects that Chun’s relatives and his in-laws allowed him to open bank accounts under their names for managing the stashed money. (Yonhap News)