Regarding the ‘Baekhyeon-dong development project’ promoted by Democratic Party lawmaker Lee Jae-myung while he was in Seongnam mayor, it is known that the Board of Audit and Inspection came to the conclusion that it was “a preferential project that drove at least tens of billions of won in profits to private developers.”
According to the Chosun Ilbo report on the 22nd, the Board of Audit and Inspection held an audit committee on the 14th and decided to audit the suspicion of preferential treatment for Baekhyeon-dong development. It has been a year and two months since regarding 320 Seongnam citizens filed a public interest audit in May of last year.
The Baekhyeon-dong development project received various licenses and permits during the tenure of Seongnam Mayor Lee Jae-myung (2010-18). Asia Developer, the project operator, purchased the site (111,265㎡) from the Korea Food Research Institute in February 2015. Afterwards, Seongnam City raised the use of the site by 4 steps from a natural green area to a ‘quasi-residential area’ in April of the same year.
It was embroiled in a controversy over preferential treatment as it was pointed out that the use of the land was unusually increased to a land where it is difficult to build an apartment. In addition, Kim In-seop, who was hired by Asia Developer in January 2015, is suspected of receiving 7 billion won in exchange for involvement in the change of use in Seongnam City. He previously served as the head of the shipbuilding division at the Seongnam Mayor’s camp of Rep. Lee.
According to the media, the Board of Audit and Inspection came to the conclusion that “it was unfair to raise the use of the Baekhyeon-dong development project site by four steps, which was a private development rather than a public development,” and “at least tens of billions of won in profits to private developers.”
It is said that it was not possible to confirm whether lobbying took place during this audit. The Board of Audit and Inspection tried to severely sanction Seongnam city officials who took part in this, but it is reported that the statute of limitations for disciplinary action has already passed (three years), and it has been reported that the ‘personnel data notification’ has been taken.
The Board of Audit and Inspection is also known to have pointed out the safety problem of the retaining wall with a maximum height of 50m surrounding the apartment building in Baekhyeon-dong. It is pointed out that Seongnam City did not properly check and supervise safety measures such as construction for the retaining wall made by forcibly carved out of the mountain.
The police are currently investigating the Baekhyun-dong case. On the 16th of last month, the Gyeonggi Nambu Police Agency seized and searched 9 departments including the mayor’s office and the deputy mayor’s office in Seongnam City Hall and secured documents related to the increase in the use of the site in Baekhyeon-dong, approved by Assemblyman Lee.
When such a report came out, the representative of lawmaker Lee countered on the 22nd, saying, “The change of use of Baekhyeon-dong is that Seongnam City has complied with the requirements of the Park Geun-hye government in accordance with the law.”
In a notice sent to reporters, Rep. Lee’s side said, “At that time, the Park Geun-hye government (Ministry of Land, Infrastructure and Transport and Food Research Institute) sent an official letter 24 times a year, requesting that the relevant site in Baekhyeon-dong, which the Food Research Institute relocated, be changed to a quasi-residential site.” said.
“If Seongnam City, which fulfilled the government’s request, is preferential, then the Park Geun-hye administration, which requested the change of use of Baekhyeon-dong and implemented it, is guilty of forcing preferential treatment,” he said. “, he added.
