South Korea closes two nonprofit funds amid scandal storm

(Baonghean.vn) - On March 20, the Korean Ministry of Culture announced that it had revoked the licenses granted to two non-profit funds, amid the political scandal that ousted President Park Geun-hye.

Ousted South Korean President Park Geun-hye greets supporters upon returning to her home in Seoul on March 12. Photo: Reuters.

Park was removed from power on March 10 after the Constitutional Court approved the National Assembly's vote to impeach her for allegedly colluding with her close friend Choi Soon-sil to pressure big businesses to donate money to two foundations, Mir and K-Sports, set up to support the president's policy initiatives.

Ms. Park is also accused of allowing Ms. Choi to exert improper influence over state affairs. According to the plan, Park will appear for the first questioning by the prosecutor's office tomorrow (March 21).

Both Park and Choi have denied any wrongdoing. Ms. Park has apologized for not properly assessing her relationship with Ms. Choi.

The South Korean Culture Ministry, which licensed the two foundations, has raised suspicions about the motives behind the corporate donations to the two foundations, and the issue is now being brought to the attention of investigators and prosecutors.

“It turns out that the businesses that sponsor these funds do not contribute voluntarily for the public good, but under pressure or for the purpose of bribery,” the ministry said in a statement.

The South Korean Ministry of Culture also cited the Constitutional Court's ruling, which found that the non-profit organizations operated for personal gain under the control of Ms. Choi, a close friend of Ms. Park.

Ms Park, 65, lost presidential immunity after being impeached and could now face criminal charges of bribery, extortion and abuse of power.

The Mir (“Dragon”) Foundation, established in October 2015 to promote cultural exchanges with other countries, while the K-Sports Foundation was established in January last year and is involved in sports-related projects. “The swift dissolution of the foundations will benefit the community amid the social and national turmoil caused by these foundations,” the Ministry of Culture said.

The ministry also confirmed that it will initiate the process of dissolving the funds and then make a decision on the funds’ assets, depending on the results of the relevant trials. Currently, both funds whose operating licenses have been revoked have refused to comment./.

Thu Giang

(According to Reuters)