The Saemaul Geumgo Federation has begun an investigation into allegations that Democratic Party candidate Yang Moon-seok received an illegal loan worth 1.1 billion won from his college student daughter. Candidate Yang apologized once again and stated that he would donate any profits he made.

This is reporter Ahn Sang-woo.


National Association prosecutors are entering Suseong Saemaeul Geumgo in Daegu.

We are looking into the entire process by which the safe provided a business loan worth 1.1 billion won to the college student daughter of Democratic Party candidate Yang Moon-seok.

[Suseong Saemaeul Geumgo official: Because we are currently investigating. When (the investigation) is completed, there will probably be an announcement.]

The key is whether the business loan was appropriate.

Candidate Yang revealed that he received a loan of 1.1 billion won in the name of his college student daughter in April 2021, and spent about 500 million won to pay off 630 million won in debt to a loan company incurred during the purchase of an apartment and other debts.

It is a violation of regulations if the loan received for business purposes was used for the purpose of purchasing an apartment.

However, Saemaul Geumgo claims that it received documents from Candidate Yang's daughter showing that 500 million won was spent on purchasing business items, raising the possibility that the supporting documents were falsified due to poor loan management.

An additional controversy was raised regarding the reporting of asset reduction for both candidates.

According to the Public Official Ethics Act, when reporting assets, the actual transaction price or the publicly announced price must be higher, and the actual transaction price of candidate Yang's apartment in Seocho-gu is between 3.25 billion won and 3.55 billion won, compared to the publicly announced price of 2.156 billion won. Reported.

Candidate Yang said on social media that he would once again apologize and that he would sell the apartment to urgently repay the loan and donate the entire amount if any profits were made.

He dismissed the possibility of resignation raised by some and made it clear that he intended to complete the course. However, controversy may continue as he has not yet responded to the possibility of false loan documents and reports of reduced assets.

(Video coverage: Choi Dae-woong, Video editing: Park Ji-in, Design: Hong Ji-wol, Seo Dong-min)