Published : Nov. 3, 2016 - 13:06
Local news reports have raised new speculations over the possible influence of President Park Geun-hye’s friend Choi Soon-sil over the sudden resignation of Hanjin Group Chairman Cho Yang-ho as the chief organizer for the 2018 PyeongChang Olympics.
On May 3, Cho, the largest stakeholder of the group’s bankrupt Hanjin Shipping, said he was resigning to focus on normalizing the company’s business.
His successor was named just six hours later, stoking rumors that Cho’s resignation may not have been voluntary.
Cho Yang-ho (Yonhap)
As the scandal involving Choi and the president continues, news reports this week suggested through interviews with unidentified sources from the Olympics organization committee that former Culture Minister Kim Jong-deok -- a supposed associate of Choi -- allegedly demanded Cho step down at the time.
The sources reportedly said that the demand allegedly followed Cho’s refusal against pressure from the ministry to sign The Blue K, a company founded by Choi, on a project to build stands for the Olympic stadium and other subsidiary facilities.
“It seems that (Cho) flatly refused all unreasonable demands from Choi’s side. It seems that his resignation may also have been driven by a disgruntled Choi,” Democratic Party of Korea Rep. An Min-suk was quoted as saying in a media interview.
The Blue K, which also failed to win the said project under Cho’s successor Lee Hee-beom, was reportedly planning to bid for a 150 billion-won ($131 million) infrastructure project for the Olympics at the year’s end.
Cho had been heading the Olympics organization committee since August 2014 and was nearing the end of his two-year term. Cho had served as head of PyeongChang’s Olympic bidding committee in 2011, beating Munich of Germany and Annecy of France in an International Olympic Committee vote.
Following the speculation on Choi’s influence on Cho’s position, news reports also suggested that the normalization efforts of Hanjin Shipping that started to go haywire this year could also have been connected, citing the government’s sudden negative turn of attitude against helping the shipper, branding it as an “insolvent company.”
Hanjin Shipping was put under court receivership in September, as its creditors, led by the state-run Korea Development Bank, rejected its last self-rescue package worth 500 billion won.
(khnews@heraldcorp.com)