Roh aide embezzled gov't money to create slush funds: prosecutors

SEOUL, April 20 (Yonhap) -- An aide for former President Roh Moo-hyun embezzled 1
billion won (US$747,900) worth of government money to create slush funds, state
prosecutors said Monday.
The Supreme Prosecutors Office claimed Jung Sang-moon, who has been detained for
taking 300 million won in bribes from a local business tycoon, siphoned off money
set aside for the presidential office Cheong Wa Dae and deposited the funds into
several third-person accounts to avoid detection.
Investigators said the aide and close confident of Roh used various methods,
including certificate of deposits, to launder the money. Because of Jung's status
as a secretary for administrative affairs that overlooks the running of the
presidential office, he had access to considerable amounts of money.
"Only a small amount was used, with the bulk still intact," a prosecutor said,
adding that investigators are trying to determine if the slush funds were created
on behalf of the president.
A formal arrest warrant has been requested and prosecutors are expected to slap
Jung with charges of taking the bribe from Taekwang Industry chairman Park
Yeon-cha and the newly discovered slush funds.
The case against Jung comes as prosecutors are gearing up to summon Roh later
this week for questioning over allegations that he received tens of billions of
won in bribes from the business executive during his five-year presidential term,
which ended in February 2008.
Roh's wife, Kwon Yang-sook, and one of his in-laws have been found to have
accepted at least US$6 million and 300 million won from Park between 2006 and
2008. Prosecutors suspect Roh was the final recipient of those bribes.
In early April, Jung was arrested on separate charges of receiving 400 million
won worth of cash and gift certificates from Park, accepting $30,000 and 8
million won from former Nonghyup Chairman Chung Dae-kun and delivering $1 million
from Park to former first lady Kwon.
A Seoul district court rejected the prosecution's request for an arrest warrant
against Jung and set him free on April 10, citing lack of concrete evidence.
yonngong@yna.co.kr
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