PROSECUTION ARRESTS YOO DONG-KYU

[Anchor Lead]

The prosecution notified Yoo Dong-kyu, former executive of the Seongnam Development Corporation, to show up for questioning. He was then arrested after not showing up. The SDC has led the controversial development project in the Daejang-dong area of Seongnam City. Meanwhile, the prosecution is also checking the authenticity of the recording files obtained from a key figure.

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The prosecution team investigating the so-called “Daejang-dong scandal” notified Yoo Dong-kyu, a former executive of the Seongnam Development Corporation, to show up for questioning. But Yoo refused the summon, saying that he would appear for questioning later. Yoo reportedly threw his mobile phone out the window of his house immediately before the prosecutors raided his home. The prosecution also searched the SDC office Thursday and secured the computer he had used before. The former head of SDC explained to reporters about the profit distribution structure suspected of being irregular.

[Soundbite] Yoo Dong-kyu(Former Executive, Seongnam Development Corporation) : "It was the best design at the time. The SDC had already secured KRW 500 bn back then."

He claimed that at the time, financial institutions also received profits in preferred stocks like the city of Seongnam. He also mentioned that he became friends with Gyeonggi-do Governor Lee Jae-myung while working together.

[Soundbite] Yoo Dong-kyu(Former Executive, Seongnam Development Corporation) : "Friendship can develop when we work together. It’s nothing more than that. I didn’t know him personally before then."

The prosecution is focused on checking the authenticity of recording files, which are expected to provide key clues to the Daejang-dong development case. An accountant, surnamed Jeong, the real owner of a Hwacheondaeyu affiliate, provided about ten recording files to the prosecution. The files reportedly include the conversations between the accountant and Kim Man-bae, Hwacheondaeyu’s owner, about the profit distribution of the Daejang-dong development project. Meanwhile, the prosecution arrested Yoo due to the possibility of not showing up for prosecutors' summon when he was admitted to the ER after complaining of a stomach ache. He was supposed to appear at the Prosecutors' Office at 10a.m. Friday.