ID :
24892
Thu, 10/16/2008 - 18:06
Auther :
Shortlink :
https://www.oananews.org//node/24892
The shortlink copeid
Illegal pocketing of rice farm subsidies triggers social storm
By Shin Hae-in
SEOUL, Oct. 16 (Yonhap) -- The alleged pilfering of state farming subsidies by ranking government officials and lawmakers snowballed into a massive social fracas Thursday, leading to calls for the dismissal of the country's vice health minister.
At least 500 billion won (US$384 million) in government subsidies aimed at
supporting rice producers is believed to have gone to tens of thousands of
ineligible recipients over the past four years.
The case, which made headlines after a local newspaper reported the nation's vice
health minister had falsely applied for the money, has now grown into a
corruption scandal involving thousands of public servants.
Opposition parties claim at least 100 ranking officials in the incumbent
government are implicated, while two ruling party lawmakers and a minority party
legislator were also found to have received the farming subsidies in 2006.
The scandal now hinges on a highly anticipated report from the state auditor,
which will show whether these officials and lawmakers were eligible recipients or
not.
The Board of Audit and Inspection, however, is reluctant to disclose the
individual names of those who received the funds, and insists the recipients are
categorized only by profession.
Civic groups accuse the agency of providing cover for officials who they say
broke the law.
The ruling Grand National Party on Thursday called on the government to retrieve
the misallocated subsidies and use them to fund policies helping rice farmers.
"Thorough inspections come first -- to find out exactly how much has gone to
unqualified people -- then comes retrieval down to every single won," said ruling
party whip Hong Joon-pyo. "The money must be used rightfully in supporting the
rice farmers."
The rice farming subsidy system was established in 2005 under the former Roh
Moo-hyun administration to support low-income farmers who protested the opening
of the Korean rice market to cheaper imports. Only those who actually produce
rice, rather than owners of the rice paddies, are eligible for the state
subsidies.
Observers say officials and legislators who own land likely applied for the
subsidies in order to evade heavy property taxes rather than for the money
itself, in the process inflicting financial losses on tenants who do the actual
farming.
Under the country's tax law, individuals must farm the land for at least eight
years to receive tax deductions on their property. As the government does not
require proof that applicants are the actual farmers, non-farmers are able to
abuse the system.
Up to 280,000 of the 998,000 people who received rice farming subsidies in 2006
were found to be "non-farmers," according to the audit agency. Of those, about
3,900 were listed as public servants, while 6,200 were employees of state-run
corporations. These non-farmers received 168.3 billion won in 2006, more than 10
percent of the total rice farming subsidy of 1.62 trillion won given that year.
Prosecutors on Thursday launched an investigation into the allegations against
the disgraced Vice Health Minister Lee Bong-hwa following a request from a
minority party, officials said. Lee could face criminal charges if found guilty.
"As for the rest of the (accused) people, we plan to wait until after the
government inspection to see whether they should be charged with crimes," an
official of the Supreme Prosecutors' Office said.
The Lee Myung-bak government has been facing mounting pressure from civic groups
and opposition parties to dismiss the vice minister. The issue has become another
sore spot for the unpopular president who has often been criticized for his
choice of Cabinet members.
President Lee expressed his regret over the issue and ordered a "prompt and
thorough probe" of the case, his spokesman said Wednesday. He has not commented,
however, on the fate of the vice minister.
Opposition parties have vowed not to use turn issue into a political war.
"This should not become a blame game between former and incumbent
administrations," Won Hye-young, floor leader of the Democratic Party, said. "As
a matter of morality among all public servants, investigators must get to the
bottom of the case and make public all the results."
Many of the ranking officials now under suspicion have worked for both the Roh
and the Lee administrations, implicating both sides of the political divide.
SEOUL, Oct. 16 (Yonhap) -- The alleged pilfering of state farming subsidies by ranking government officials and lawmakers snowballed into a massive social fracas Thursday, leading to calls for the dismissal of the country's vice health minister.
At least 500 billion won (US$384 million) in government subsidies aimed at
supporting rice producers is believed to have gone to tens of thousands of
ineligible recipients over the past four years.
The case, which made headlines after a local newspaper reported the nation's vice
health minister had falsely applied for the money, has now grown into a
corruption scandal involving thousands of public servants.
Opposition parties claim at least 100 ranking officials in the incumbent
government are implicated, while two ruling party lawmakers and a minority party
legislator were also found to have received the farming subsidies in 2006.
The scandal now hinges on a highly anticipated report from the state auditor,
which will show whether these officials and lawmakers were eligible recipients or
not.
The Board of Audit and Inspection, however, is reluctant to disclose the
individual names of those who received the funds, and insists the recipients are
categorized only by profession.
Civic groups accuse the agency of providing cover for officials who they say
broke the law.
The ruling Grand National Party on Thursday called on the government to retrieve
the misallocated subsidies and use them to fund policies helping rice farmers.
"Thorough inspections come first -- to find out exactly how much has gone to
unqualified people -- then comes retrieval down to every single won," said ruling
party whip Hong Joon-pyo. "The money must be used rightfully in supporting the
rice farmers."
The rice farming subsidy system was established in 2005 under the former Roh
Moo-hyun administration to support low-income farmers who protested the opening
of the Korean rice market to cheaper imports. Only those who actually produce
rice, rather than owners of the rice paddies, are eligible for the state
subsidies.
Observers say officials and legislators who own land likely applied for the
subsidies in order to evade heavy property taxes rather than for the money
itself, in the process inflicting financial losses on tenants who do the actual
farming.
Under the country's tax law, individuals must farm the land for at least eight
years to receive tax deductions on their property. As the government does not
require proof that applicants are the actual farmers, non-farmers are able to
abuse the system.
Up to 280,000 of the 998,000 people who received rice farming subsidies in 2006
were found to be "non-farmers," according to the audit agency. Of those, about
3,900 were listed as public servants, while 6,200 were employees of state-run
corporations. These non-farmers received 168.3 billion won in 2006, more than 10
percent of the total rice farming subsidy of 1.62 trillion won given that year.
Prosecutors on Thursday launched an investigation into the allegations against
the disgraced Vice Health Minister Lee Bong-hwa following a request from a
minority party, officials said. Lee could face criminal charges if found guilty.
"As for the rest of the (accused) people, we plan to wait until after the
government inspection to see whether they should be charged with crimes," an
official of the Supreme Prosecutors' Office said.
The Lee Myung-bak government has been facing mounting pressure from civic groups
and opposition parties to dismiss the vice minister. The issue has become another
sore spot for the unpopular president who has often been criticized for his
choice of Cabinet members.
President Lee expressed his regret over the issue and ordered a "prompt and
thorough probe" of the case, his spokesman said Wednesday. He has not commented,
however, on the fate of the vice minister.
Opposition parties have vowed not to use turn issue into a political war.
"This should not become a blame game between former and incumbent
administrations," Won Hye-young, floor leader of the Democratic Party, said. "As
a matter of morality among all public servants, investigators must get to the
bottom of the case and make public all the results."
Many of the ranking officials now under suspicion have worked for both the Roh
and the Lee administrations, implicating both sides of the political divide.
