The prosecution has apprehended and indicted a former executive of the Korea Federation of Artistic and Cultural Organizations who fled overseas in 2015 while under investigation for a breach of trust involving about 4 billion won. The executive attempted to return to Korea after 10 years when a strong earthquake hit Myanmar, where he had fled using a forged passport, and was reportedly caught by prosecutors at the airport.
On the 21st, the Anti-Corruption Division 3 of the Seoul Central District Prosecutor's Office (Director General Lee Seung-hak) announced that it had indicted former executive A of the Korea Federation of Artistic and Cultural Organizations (Korea Arts Council) on charges of violating the Act on the Punishment of Specific Economic Crimes (Aggravated Breach of Trust), breach of trust, and violations of the Passport Act. The Korea Arts Council is a non-profit organization established in 1962 by artists and various art associations.
The prosecution began an investigation into various corruption allegations against the Korea Arts Council's executive board in 2015. One of the allegations raised at that time was that the Korea Arts Council sold 200,000 shares of the TV home shopping company Home&Shopping, which it acquired during an investment process, to the younger brother B of the executive board at an extremely low price. The prosecution believes that A and the then-chairman transferred 200,000 shares worth about 5 billion won to B for 1.05 billion won.
As a result of the prosecution's investigation, it was revealed that A received 960 million won from B in exchange for selling Home&Shopping shares at a reduced price around April 2011.
A is also accused of receiving 100 million won from C, who operates a building management service company, in exchange for facilitating the transfer of the lease rights of the Korea Arts Center owned by the Korea Arts Council to C. Furthermore, it was investigated that A received a total of 190.5 million won after soliciting C to be selected as the building management service provider and requesting exclusive participation in a flower delivery business for 70.5 million won and 20 million won, respectively.
A is known to have fled to Myanmar in November 2015 while the prosecution's investigation was ongoing. However, on May 4th, he was caught by prosecutors at Incheon International Airport while attempting to return during the holiday period. It has been reported that A had planned to return after a strong earthquake measuring 7.7 hit Myanmar in March.
According to the prosecution, A is said to have created a forged passport when he fled to Myanmar. It was reported that he attached his photo to a passport in the name of his mother's employee at the company he was running at the time.
Meanwhile, D, the former chairman of the Korea Arts Council, who is suspected of colluding in the crime with A, died before A's return and thus was not subjected to punishment.