Lawmakers have blasted Cabinet members on the savings banks investigation and unofficial summit suggestions to North Korea during the four-day parliamentary interpellation which started Thursday.

Prime Minister Kim Hwang-sik, who served as chairman of the Board of Audit and Inspection in 2008-2010, denied any involvement in the slack supervision of savings banks during that time.

The main opposition Democratic Party demanded that the prime minister step down to take responsibility for the financial corruption, while the ruling Grand National Party largely attributed the problem to the previous administration.

“There was considerable backlash concerning our audit over savings banks, and the Financial Supervisory Service even requested that the BAI step back, claiming that excessive inspection may cause a financial disorder.” Kim said.

“I, however, ordered a thoroughly strict audit, despite such external pressure.”

Former BAI commissioner Eun Jin-soo was arrested earlier this week on charges of taking 170 million won ($157,262) in kickbacks from the Busan Savings Bank and lobbying financial authorities for a lenient inspection.

The prime minister also faced the parliamentary probe over the covert inter-Korean talk attempts which were revealed by the North on the previous day.

“The North claimed that we asked for money in exchange for hosting a summit, but this is false,” Kim said.

North Korea said Wednesday that South Korea proposed to hold summits and pleaded for an apologetic gesture from the North to appease South Koreans over last year’s attack on a South Korean naval vessel.

Unification Minister Hyun In-taek said that communication with the North had been attempted, however.

“The purpose of the contact was to exact official apologies from the North over the Cheonan Corvette sinking and the Yeonpyeong Island bombing,” the minister said.

“North Korea, by distorting the facts, seriously violated the inter-Korean relationship.”

By Bae Hyun-jung (tellme@heraldcorp.com)