NongHyup Bank denied a media report on Sunday that it served as a conduit for former President Lee Myung-bak to launder money while he was in office.

The Weekly Hankook, the weekly magazine under Hankook Ilbo, reported in its online edition that former President Lee Myung-bak, who took office from February 2008 for five years, was suspected of laundering money via NongHyup Bank.

The report said that after receiving an award from the United Arab Emirates with a monetary prize worth US$500,000 in March 2011, Lee allegedly laundered money via the bank, and related data was erased from the bank archives.

NongHyup Bank denied such allegations, saying that the transaction dealing with the money was normally made and the related data was also left intact in its database.

Lee's representatives said in a statement that such allegations are groundless, adding that it will sternly cope with any activity hurting or defaming the former president.

The Weekly Hankook denied allegations that its report was false, saying it will unveil follow-up stories. (Yonhap News)