{"id":2201753,"date":"2023-07-20T19:21:49","date_gmt":"2023-07-20T10:21:49","guid":{"rendered":"https:\/\/koreapro.org\/?p=2201753"},"modified":"2023-07-21T21:52:23","modified_gmt":"2023-07-21T12:52:23","slug":"how-testimony-by-opposition-leaders-confidant-impacts-south-korean-politics","status":"publish","type":"post","link":"https:\/\/koreapro.org\/2023\/07\/how-testimony-by-opposition-leaders-confidant-impacts-south-korean-politics\/","title":{"rendered":"How testimony by opposition leader\u2019s confidant impacts South Korean politics"},"content":{"rendered":"
The return of <\/span>Lee Nak-yeon<\/span><\/a>, former prime minister and one-time presidential hopeful, from a yearlong sabbatical in the U.S. in late June has ignited tensions within South Korea\u2019s main opposition Democratic Party (DP). Lee Nak-yeon\u2019s reappearance comes as he and current DP leader Lee Jae-myung grapple for control, turning factional lines within the party into a political battleground.<\/span><\/p>\n In recent weeks, the DP\u2019s \u201c<\/span>Blue Wave<\/span><\/a>\u201d social media platform has become a hotspot for rancorous debate. Lee Nak-yeon and Lee Jae-myung\u2019s respective supporters have traded <\/span>vitriolic barbs<\/span><\/a>, escalating the underlying power struggle to new heights. To address this internal discord, the two progressive politicians arranged a <\/span>meeting<\/span><\/a>, initially set for July 11.<\/span><\/p>\n However, extreme weather led to <\/span>widespread flooding<\/span><\/a> across South Korea, postponing the meeting, first to July 19 and then indefinitely. To date, it remains unscheduled.<\/span><\/p>\n Yet a new twist in this political saga may put the anticipated detente out of reach. A pivotal testimony by Lee Hwa-young, a close associate of Lee Jae-myung, threatens to upend any prospect of reconciliation between Lee Nak-yeon and Lee Jae-myung \u2014 and perhaps even the trajectory of South Korean politics.\u00a0<\/span><\/p>\n THE TESTIMONY<\/b><\/p>\n Lee Hwa-young, the former deputy governor of Gyeonggi Province, recently delivered potentially damaging <\/span>testimony<\/span><\/a> to prosecutors. Serving under Lee Jae-myung during his tenure as governor, Lee Hwa-young alleges he made a $5 million transfer to North Korea at Lee Jae-myung\u2019s request, a transaction he claims to have reported to the politician.<\/span><\/p>\n Prosecutors <\/span>theorize<\/span><\/a> that Lee Jae-myung intended to make a solo trip to North Korea while still serving as Gyeonggi Province\u2019s governor following his exclusion from the <\/span>2018 inter-Korea summit<\/span><\/a>. This exclusion allegedly prompted Lee Jae-myung\u2019s office to plan an independent North Korean visit in a likely attempt to bolster his 2022 presidential campaign.<\/span><\/p>\n Lee Hwa-young first encountered legal trouble in Sept. 2022 when he was <\/span>arrested<\/span><\/a> for accepting bribes and illegal political funds from Ssangbangwool Group, a prominent underwear manufacturer. By March, prosecutors had <\/span>indicted<\/span><\/a> him for his purported role in facilitating the illicit transfer of millions of dollars to North Korea.<\/span><\/p>\n According to prosecutors<\/span><\/a>, Lee Hwa-young conspired with Ssangbangwool to transfer millions of dollars to North Korea via China between Jan. 2019 and Jan. 2020 to support Gyeonggi Province\u2019s smart farm project in the DPRK. As per South Korea\u2019s <\/span>Foreign Exchange Transactions Act<\/span><\/a>, any funds transferred to North Korean authorities from the ROK must first receive approval from the Bank of Korea.<\/span><\/p>\n Lee Hwa-young\u2019s testimony, claiming he reported the remittance in question to then-Governor Lee Jae-myung, threatens to cast a long shadow over Lee Jae-myung\u2019s political career. Beyond the potential damage to his standing, this development also throws into question the anticipated truce with Lee Nak-yeon, amplifying the tensions within the DP.<\/span><\/p>\n