COURT HEARING ON DAEJANG-DONG SCANDAL

[Anchor Lead]

The first court hearing on the Daejang-dong development scandal involving Lee Jae-myung was held today. Five key figures attended the hearing, including Kim Man-bae and Yoo Dong-gyu. A fierce legal dispute will likely be staged. Yoo denies accusations of breaching his duty and causing 180 billion won worth of losses to the Seongnam Development Corporation.

[Pkg]

The first court hearing of the trial against five key figures in the Daejang-dong scandal kicked off at the Seoul Central District Court. They include Yoo Dong-kyu, Kim Man-bae, Nam Wook, Jeong Min-yong and Jeong Young-hak. All of them attended the hearing, as they are legally required to do so. Prosecutors believe Yoo Dong-kyu, former acting president of the Seongnam Development Corporation, helped asset management firm Hwacheondaeyu earn over 180 billion won from the development project, in collaboration with the four people. As a result, he is said to have caused huge losses to his employer. Yoo is also accused of receiving some 850 million won in bribes from Kim Man-bae, Nam-wook and Jeong Young-hak in the process. Prosecutors also suspect that Yoo was promised an additional 70 billion won from Kim Man-bae. As an accountant and major shareholder in Hwacheondaeyu’s affiliate Cheonhwadongin No. 5, Jeong Young-hak admitted to accusations against him in a previous preliminary hearing after presenting the crucial evidence of recording files to prosecutors. However, a fierce legal battle is expected, as the other four are denying all the accusations prosecutors brought against them. Prosecutors had rejected the four people's request to copy the recording files in question. Prosecutors said related investigations are underway and a third party’s statements are included in the files. But the court later accepted the request, acknowledging the accused’s right to defend.