A former deputy president of Industrial Bank of Korea (IBK) was indicted on charges of receiving valuables worth about 100 million won from a real estate developer along with a request to place an IBK branch in a newly built building.
The Seoul Central District Prosecutors' Office's Anti-Corruption Investigation Division 1 (Chief Prosecutor Lee Hee-chan) on the 19th indicted former Industrial Bank of Korea (IBK) deputy president A on charges of receiving a bribe after improper solicitation and bribery, and detained A pending trial. Real estate developer B, who provided the valuables, was indicted without detention. B also previously worked at Industrial Bank of Korea (IBK).
According to prosecutors, between 2021 and 2022, A received a request from B to place an Industrial Bank of Korea (IBK) branch in a newly built building in an industrial complex in Incheon. At the time, IBK working-level staff and members of the relevant committee expressed opposition, saying branches were already overly concentrated in the area and the proposed location was unsuitable.
However, A pushed it through and placed a branch in the building, and in return was found to have had apartment interior expenses worth 110 million won paid on A's behalf by B. A is also accused of receiving hospitality worth 1.7 million won, including golf and meals.
B, who provided the valuables to A, is the individual who was indicted and detained in Jul. on charges of violating the Act on the Aggravated Punishment of Specific Economic Crimes (fraud) in connection with the approximately 35 billion won Industrial Bank of Korea (IBK) improper loan case.
Earlier, the Financial Supervisory Service detected signs of improper loans worth hundreds of billions of won involving former and current Industrial Bank of Korea (IBK) executives and employees, their spouses, colleagues who joined the bank in the same intake and private gatherings, and counterparties, and requested an investigation by prosecutors. In Jul., prosecutors sent nine people to trial, including B and former and current employees such as the head of IBK's Credit Screening Center and branch managers.