Court says more evidence needed to arrest Shin,  alleged bribe-giver


Prosecutors’ investigation into the alleged corruption of one of President Lee Myung-bak’s confidants faced a setback Thursday after a local court rejected their request for arrest warrants for two main figures in the scandal.

The investigators at Seoul Central Prosecutors’ Office plan further questioning of Shin Jae-min, a member of the president’s election camp and former culture minister, and his alleged bribe-giver Lee Kuk-chul, chairman of SLS Group, for evidence.

Early Thursday morning, the Seoul Central District Court denied arrest warrants for Shin and Lee. The investigators alleged that Shin, between 2008 and 2009 when he was the vice culture minister, spent nearly 100 million won ($90,000) with a credit card provided by the businessman. The card belonged to one of Lee’s companies.

The prosecutors suspect that Shin was to use his influence to give business favors to SLS Shipbuilding Co., a core unit of Lee’s SLS group, in return for the bribe.

“(Investigators) appear to have a reasonable suspicion, but they need to investigate further to unearth more substantial truth,” Judge Lee Sook-yeon said, adding that the two are not a flight risk.

Both Shin and Lee claim innocence, saying that Lee provided financial support to Shin, expecting nothing in return.

“I am grateful for the just decision,” Lee said, returning home from the court at around 3 a.m.

Shin said he had nothing else to say but was sorry for causing concern.

The probe began last month following Lee’s disclosure that he had offered credit cards, cash, vouchers, vehicles and other items worth 1 billion won to Shin since 2002.

He alleged Shin used much of the cash to provide favors to influential figures including Kwak Seung-jun, chairman of the Presidential Council for Future and Vision, and Lim Jae-hyun, presidential secretary for policy publicity. In earlier questioning sessions, he were presented prosecutors with two large suitcases filled with items including credit card slips, car lease records and voucher receipts, which he said were proof of his claims.

The prosecutors are now trying to determine whether Shin received other benefits from Lee, aside from the credit card, and whether he provided business favors to Lee in return.

By Lee Sun-young (milaya@heraldcorp.com)