The appeal trial of former People Power Party lawmaker Gwak Sang-do, who was indicted on charges of receiving 5 billion won from private Daejang-dong businessman Kim Man-bae as his son's severance pay but was acquitted in the first trial, reopened after one year and nine months. The appellate panel plans to decide first whether to consolidate the case with the alleged violation of the Act on Regulation and Punishment of Criminal Proceeds Concealment before moving into full proceedings.
The Seoul High Court's Criminal Division 3 (presiding judge Lee Seung-han, senior judge) held the second preparatory hearing on the 14th for Gwak, who was indicted on charges including bribery under the Act on the Aggravated Punishment of Specific Crimes.
After the first preparatory step was held in July 2024, no dates were set for a while to await the first-trial result in Gwak's alleged violation of the Act on Regulation and Punishment of Criminal Proceeds Concealment. After Gwak received a dismissal of indictment in that case in February, the appeal proceedings began to move again.
The bench first asked whether to try the two cases together. The court said, "Defendant Kim Man-bae submitted an opinion seeking to consolidate the later case," and added, "This panel cannot request consolidation, but if the panel in the later case agrees to accept it, we can transfer the case."
In response, Gwak said, "I oppose consolidating the two cases," adding, "The main issue here is double jeopardy, and I want that to remain the issue as is." He continued, "Over five years, I have stood two first trials," and said, "I want the prosecutors' overreaching indictments to remain on the record." The court said it would decide later whether to consolidate.
At the end of the preparatory session, there was also a dispute over the admissibility of testimony by Nam Wook. Gwak argued, "Unlike Kim Man-bae, who was additionally detained, Nam, who remained out of custody, began to recant his prior statements around September or October 2022, which was due to prosecutorial inducement and the benefit of remaining at liberty." He added, "Nam's testimony is inadmissible," and said, "It is fortunate that the prosecution's inducement has at least now come to light, and I hope the trial proceeds in consideration of these circumstances."
Gwak was brought to trial on charges of receiving 5 billion won in the name of severance pay and bonuses for his son, Byung-chae, who worked at Hwacheon Daeyu Asset Management and resigned in April 2021. Prosecutors deemed the net amount after taxes, 2.5 billion won, to be a bribe. However, in February 2023, the first trial ruled it was hard to see the money as a bribe given to Gwak and acquitted him. Separately, the court found him guilty of receiving 50 million won in political funds from Nam and imposed an 8 million won fine.
The crux of the appeal is expected to center on whether the quid pro quo and job-relatedness of the 5 billion won—rejected by the first trial—can be recognized anew, and to what extent it should be handled together with the separately indicted criminal-proceeds concealment case. Kim, who was indicted alongside Gwak, is on trial for bribery offering and embezzlement, and Nam is on trial for violating the Political Funds Act.