Arrest Warrant for Paik Un-gyu Denied: Brakes on the Investigation into the “Trade Ministry Blacklist”

2022.06.16 17:00
Yu Gyeong-seon

Paik Un-gyu, former minister of trade, industry and energy, currently being investigated for an alleged blacklist in the trade ministry, receives questions from reporters on his way to court for his arrest warrant review on June 15. Kim Chang-gil

Paik Un-gyu, former minister of trade, industry and energy, currently being investigated for an alleged blacklist in the trade ministry, receives questions from reporters on his way to court for his arrest warrant review on June 15. Kim Chang-gil

On June 15, the court refused to issue an arrest warrant for Paik Un-gyu, the former trade minister suspected of exercising unwarranted authority over personnel matters in the Ministry of Trade, Industry and Energy in the Moon Jae-in government. Prosecutors conducted a massive search and seizure three years after they received a report on the so-called “trade ministry blacklist” aiming at the Moon Jae-in government, but the investigation came to a halt when the court denied the arrest warrant.

This day, Shin Yong-mu, the chief judge overseeing arrest warrants at the Seoul Eastern District Court, questioned the suspect before his arrest (warrant review) and around 9:40 p.m. said, “Most of the criminal charges have been explained, but there is still room for arguments concerning some charges. Based on the status and attitude of the suspect, it is hard to say that there is a risk of his fleeing from the law,” and refused to issue an arrest warrant for Paik.

The court also considered the fact that the former minister was already on trial for his involvement in the manipulated economic feasibility assessment of the Wolseong Nuclear Power Plant. Judge Shin further said, “There is practically no possibility of him cajoling another suspect or witness to testify in his favor, and the investigative agency has secured a considerable amount of objective evidence, so it’s hard to say there is a risk of his destroying additional evidence.” He added, “Since further investigation is inevitable, if the suspect is arrested, it will seriously affect him in exercising his right to defense.”

In general, the decision on whether to issue an arrest warrant for a suspect of a major case is determined around midnight. Compared with past cases, the decision on the arrest warrant this day was made fairly early. Given the court’s explanation stating several reasons why the arrest was unnecessary, some speculate that the prosecutors made an excessive request.

Paik Un-gyu served as a minister in the early days of the Moon Jae-in government in 2017-2018 and is suspected of abusing his authority over personnel matters to force the heads of thirteen agencies affiliated to the trade ministry to resign (misfeasance and interference in the exercise of a right). In 2018, he accepted the resignation of Kim Kyung-won, former president of the Korea District Heating Corporation, and is suspected of leaking interview questions and answers to the current CEO of the Corporation, Hwang Chang-hwa--a close acquaintance of former prime minister Han Myung-sook--before his interview. Prosecutors recently searched Hwang’s house and obtained several documents in connection to the interview at the time.

■ Excessive Request for an Arrest Warrant by the Prosecutors?

Prosecutors are also investigating the allegation that Democratic Party of Korea lawmaker Park Sang-hyuk, who served as an administrative officer in the Cheongwadae Office of the Senior Secretary for Personnel Affairs in the Moon Jae-in government, communicated with officials in the trade ministry and persuaded them to get chiefs of ministry-affiliated agencies to step down.

When the prosecutors searched the Ministry of Trade, Industry and Energy last March, they secured e-mails from ministry employees--circumstantial evidence suggesting Park’s involvement. This day, when the reporter sent a text message asking about the allegation concerning Hwang, former minister Paik replied, “I do not know him (Hwang Chang-hwa).” When Paik arrived at the court for his warrant review, a reporter asked if he admitted his charges. Paik replied, “When I served as minister, I handled affairs according to the regulations stipulated by law.” He did not answer questions on whether he handed the interview questions to Hwang and on whether he knew anything about lawmaker Park contacting ministry officials.

The investigation is likely to spread to allegations of other “blacklists” inside the Moon Jae-in government.

Previously, reports were also filed against the Liberty Korea Party (currently the People Power Party) at the Prosecution Service for allegedly creating a blacklist of chiefs of agencies affiliated to the Ministry of Unification, Ministry of Education, and the Ministry of Science and ICT. Reports have been filed at the Seoul Central District Prosecutors’ Office against Cho Kuk, former justice minister; Im Jong-seok, former chief of staff; and Cho Hyun-ock, former Cheongwadae senior secretary for personnel affairs, for persuading executives of government-affiliated public agencies to resign in 2017-2018.

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