[Exclusive] Prosecutors obtain documents and testimonies on ‘Bulgaris incident’

[Anchor]

The pre-arrest interrogation of Hong Won-sik, the former chairman of Namyang Dairy Products, who is facing charges of embezzlement amounting to 10 billion won, will be held tomorrow (11.28).

Namyang Dairy Products has also been embroiled in controversy for exaggerating claims that its dairy product, Bulgaris, has preventive effects against COVID-19.

According to KBS's investigation, the prosecution has secured internal documents indicating that former Chairman Hong led the exaggerated advertising and testimonies that he instructed employees to destroy evidence.

This is a report by Kim Young-hoon.

[Report]

In 2021, Namyang Dairy Products caused a stir by announcing false claims that its product 'Bulgaris' had preventive effects against COVID-19.

The prosecution, which conducted searches at over ten locations including former Chairman Hong's residence and the Namyang Dairy Products headquarters last month on charges of violating the Food Labeling and Advertising Act and instructing evidence destruction, is focusing on documents that can prove Hong's allegations.

One of the documents, titled 'Report 15', was reported to former Chairman Hong, who has an office on the 15th floor of the Namyang Dairy Products building.

It is said to contain circumstances indicating that the promotion of Bulgaris's COVID-19 preventive effects was initially planned as an internal presentation but was changed to a press symposium at Hong's direction.

The prosecution has also secured testimonies from staff that Hong instructed them to destroy evidence.

When the 'Bulgaris incident' broke out, it is reported that Hong instructed to dispose of 2-3 mobile phones containing his directives into the Han River.

The arrest warrant application also details allegations that Hong received kickbacks by raising the supply price to suppliers by about 20%, disguised his cousin as an employee at a supplier to receive false salaries, and funneled advertising budget to his brother's advertising company.

Tomorrow, Mr. Park, who will be undergoing a substantive examination of the warrant alongside Hong, has also been found to have created a shell corporation while serving as the head of the Namyang Dairy Research Institute, receiving about 5 billion won from suppliers over 20 years.

The prosecution has also identified allegations of embezzlement amounting to tens of billions of won involving Hong's family and plans to address these alongside Hong.

This is KBS News, Kim Young-hoon.