The recent resignation of Kim Ki-sik as the chairman of the Financial Supervisory Commission revealed a negative aspect of state administration led by Cheong Wa Dae. Cheong Wa Dae insisted on openly backing Kim Ki-sik, and now that Kim has stepped down, Cheong Wa Dae faces a political burden, and the ruling party has also lost its bargaining power against the opposition.

In particular, as Cheong Wa Dae took the initiative in state administration, the cabinet was neglected, and efforts to communicate and cooperate with the National Assembly were lacking.

The response to the Kim Ki-sik situation was one led by Cheong Wa Dae. When allegations of Kim enjoying questionable overseas business trips were raised, Cheong Wa Dae spokesperson Kim Eui-kyeom held a press briefing and told reporters that Cheong Wa Dae did not find any reason to disqualify Kim despite that Cho Kuk, senior secretary for civil affairs verified and re-verified the candidate. Chief of Staff Im Jong-seok asked the National Election Commission to determine whether Kim's actions violated any laws. Afterwards, even President Moon Jae-in personally stepped up and said, "If there is an objective judgment that any one of Kim's actions were illegal, we will dismiss him."

However, Cheong Wa Dae's request for a decision by the election commission backfired. The National Election Commission determined that Kim's donation of 50 million won to his own organization was illegal, revealing a hole in the Cheong Wa Dae personnel verification system, despite "verifying and re-verifying" the candidate. Cheong Wa Dae failed to properly verify its presidential appointment inviting a round of criticism. Despite allegations concerning Kim, Cheong Wa Dae determined that there was no violation of the law and failed to realize the seriousness of public opinion. Chief of Staff Im, who sought the judgment of the election commission as well as Senior Secretary Cho, responsible for candidate verification, should be politically responsible.

Some in the ruling party argue that the side effects of a Cheong Wa Dae-led state administration, which had continued in the past, have surfaced with the Kim Ki-sik incident. After Cheong Wa Dae led the handling of key issues, such as constitutional amendments and reforms to law enforcement agencies, the role of the cabinet shrank and the political power of the ruling Democratic Party of Korea also weakened. Thus, even on issues where negotiations between the ruling and opposition parties are necessary, the opposition parties are asking for Cheong Wa Dae to step forward rather than discuss the issues with the ruling party.

In the case of Kim Ki-sik, Cheong Wa Dae stepped up to the forefront, while the ruling party failed to take the initiative and display its negotiating power or any willingness to demonstrate its negotiating power for that matter. Cheong Wa Dae clashed with the opposition parties without any buffer.

In a phone conversation with the Kyunghyang Shinmun on April 17, a senior Democratic Party lawmaker said, "Cheong Wa Dae is handling constitutional amendments and inter-Korean issues as well as reforms to the fire-fighting administration system (instead of the relevant ministry). Since there wasn't any time for a transition committee, the government had to depend on the presidential secretariat (for state administration) when it launched, and that situation has not changed." He added, "We can't see the party now. We need to reestablish the relationship between the ruling party and Cheong Wa Dae."