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CJ, Kwak deny newspaper allegations

April 24, 2012 - 19:50 By Korea Herald
(From Leff) Kwak Seung-jun, Lee Jay-hyun
Kwak Seung-jun, chief of the Presidential Council for Future and Vision, on Tuesday denied allegations that he received entertainment from CJ chairman Lee Jay-hyun in 2009 for business favors.

“I met Lee because we have been friends for 30 years. There was no business done and we enjoyed each other’s company. There was no inappropriate third party involved,” Kwak, one of the right-hand men of President Lee Myung-bak, said.

The Seoul Shinmun newspaper reported Kwak met the chairman of the major media and retail industry group at expensive room saloons in Cheongdam-dong in southern Seoul several times between June and July 2009 and discussed media policies. Some female entertainer-aspirants signed up with CJ’s entertainment division served them drinks. The bills amounted to tens of millions of won per session, the newspaper reported.

The report was based on a police observation report secretly submitted to Cheong Wa Dae, it said.

CJ Group also dismissed the report.

“Kwak and Lee are childhood friends and their families know each other. They may have met at some occasions for private matters but the report that they splashed large amount of money may be exaggerated,” a CJ insider said on condition of anonymity.

Kwak threatened litigation against media that reported “unconfirmed rumors.”

By Bae Ji-sook (baejisook@heraldcorp.com)