[Editorial]Give Prosecutors 'Korea Railroad' Case

The suspicions about an investment in a Russian oilfield development project by Korea Railroad (formerly Korea National Railroad) continue to grow. The Board of Audit and Inspection (BAI) is investigating and Uri Party member of the National Assembly Lee Kwang Jae has released a recording that is said to prove his innocence but the new questions just keep on coming. BAI says it is going to conclude its inquiry by mid-April, but at least when it comes to this particular case BAI has already suffered a loss of confidence. The inquiry has gone too slow and key figure Huh Moon Suk, president of Korea Crude Oil and a man with close connections with members of the ruling camp, was allowed to leave the country on April 4, which only made the suspicions worse. BAI made a big mistake in saying that in questioning the civil servants responsible it found no clue of active involvement on Lee's part and by saying so while the investigation was still incomplete. The situation is now such that no one will find the BAI's investigation results whatever its findings turn out to be. Particularly in cases like this it is extremely important that there is confidence in the responsible investigative agency.

It is because Cheong Wa Dae senses the mood that it has decided it will ask the prosecution to look into the case. In principle it should wait to see what BAI has to say, but now that there are open calls for the prosecution to get involved there is no reason to waste any more time. It seems like it would be best if BAI were to turn its records over to the prosecution and have it take over. Some might question the idea, asking whether there is ample confidence in the prosecution, but at the current juncture sending the case to prosecutors is the next best available option.

This is an especially ugly case. The way the railway company went about the project was out of line with common sense and with a powerful ruling camp influential held suspect it takes on the appearance of a typical power scandal. It makes no sense that Woori Bank would lend out US$6.2 million with written note from the head of the railway company. The circumstances make it very hard for the country to see the deal as an investment based on sound business judgment. If the prosecution initiates an investigation it should concentrate its efforts and get to the truth quickly. It needs to keep those responsible if there are things they must be held responsible for, and exonerate anyone wrongly accused.

The Hankyoreh, 9 April 2005.

[Translations by Seoul Selection (PMS)]