Candidate Yang Moon-seok’s assets ‘missing 1.1 billion won in private loans’ Democratic Party ‘qualifies’ nomination
It was confirmed that Candidate Yang Moon-seok was classified as a ‘qualified candidate’ by the Democratic Party’s Public Affairs Committee due to ‘1.1 billion KRW in private loans omitted’ in his asset report and decided to nominate him without conducting a assets review.
The Democratic Party judged the candidate Yang's reported purchase price of 3.12 billion won, which was significantly lowered from the reported purchase price to 2.15 billion won a year and a half later, to be 'qualified', showing bilateral collusion.
Kim Min-seok, the head of the situation office, said, 'There are no documents missing,' and Candidate Yang's eldest daughter notified Saemaul Geumgo's debt of 1.1 billion won in a separate property report, and Candidate Yang converted 1.1 billion won deposited into the eldest daughter's account into assets in the couple's name on the same day and 'private loan 11. After recognizing the intentional omission in the asset report regarding the 'generating hundreds of millions of dollars', the company ignored it.
Candidate Yang said on the 30th about the funds to purchase an apartment worth 3.12 billion won, 'I first borrowed 500 million won from an acquaintance, and then a relative agreed to lend me 600 million won, but he did not give me a loan, so I borrowed 630 million won from a loan company,' and his daughter borrowed 1.1 billion won from a business loan. It appears that he omitted to report assets in the Democratic Party candidate nomination screening for the 1.1 billion won debt, confirming that he had 'repaid' with the loaned money.
Candidate Yang ‘refused to notify’ his daughter’s property, which was registered as a business, in the Democratic Party nomination review property report, and signed and submitted a pledge saying, “If the contents of the property report are not the same, she may be disadvantaged.”
Candidate Yang posted on SNS on the 30th, "I need to pay the final balance of about 600 million won for an apartment, but the relative who was supposed to lend me the loan came up with a situation, so I quickly inquired with a real estate brokerage and they introduced me to a loan company. At this time, the amount borrowed was 630 million won." He said, "It took 1.1 billion won, including 630 million won borrowed from a loan company and about 500 million won to repay the money borrowed from acquaintances at once," and confirmed the '1.1 billion won debt' with his daughter.
Candidate Yang used the method of repaying the loan company for one day on the day his daughter withdrew the business loan from Saemaul Geumgo, and Saemaul Geumgo first set it again on the '600 million won mortgage set by the loan company' and then the loan company solved the mortgage amount on that day. Afterwards, he did not enter into a loan agreement with his daughter and did not file a gift tax return.
For the 1.1 billion won in gift tax avoidance chosen by candidate Yang, it is expected that more than 500 million won will be imposed from August 2022, including overdue late reporting fees.
Candidate Yang reported his assets on August 6, 2020, jointly owning a 137.10㎡, 41 pyeong apartment in Jamwon-dong, Seocho-gu, Seoul, with a 25% stake for himself and a 75% stake for his spouse for KRW 2.1 billion. The reported amount at the time of purchase was KRW 3.12 billion, and the current market price is KRW 3.1 billion. Due to the approval, the market profit is in the high 4 billion won range, more than double the reported amount, and the debt exceeds 1.1 billion won, with 1 billion won remaining.
Candidate Yang revealed on the 30th that his college student daughter received a loan of 1.1 billion won as a business owner through collateral for an apartment, saying, "It was an expedient. At the time, the loan was made in accordance with Saemaul Geumgo's proposal." He previously said, "I looked into a loan to buy an apartment." It was introduced by a real estate agency, etc.
The daughter's business loan of 1.1 billion won can be repaid from the profits after the sale of the apartment through ‘interest only and final payment of principal’ rather than principal and interest repayment.
A senior Democratic Party lawmaker told Newsis on the 30th, "Of course, it is a financial issue, so a deep apology is sufficient, but it is not an issue that will require his resignation."
Newsis reported on this day that there does not seem to be much concern among some Democratic Party leadership officials and incumbent lawmakers.
Through the nomination screening process, the Democratic Party recognized candidate Yang's 'refusal to notify business owner's daughter's assets' as normal in relation to borrowing 1.1 billion won of his daughter's money and repaying 1.1 billion won of private loans just before nomination, and judged him 'eligible', and 'concealed 1.1 billion won in debt' in the public official's asset report. ' was announced as normal.