Kijun Times

SEOUL, Nov. 9 (Yonhap) -- A nonprofit foundation, suspected to having been controlled by President Park Geun-hye's friend who is at the center of an influence-peddling scandal, returned some billions of won it received from Lotte Group right before the retail giant was raided by prosecutors earlier this year, sources said Wednesday.

On June 10, the Seoul Central District Prosecutors' Office launched a full-fledged raid into the group's headquarters and its major affiliates over a string of corporation crime charges, sending over some 200 investigators.

The prosecution looking into the latest political scandal found that the K-Sports Foundation, which had received some 7 billion won (US$6.18 million) from the retail giant after months of negotiations, returned the money to Lotte's affiliates from June 9-13, according to prosecutorial and industry sources. This is raising suspicions that the details of the probe were leaked to K-Sports.

A senior prosecutor who was in charge of the investigation told reporters at that time that they had to promptly carry out the raids as there had been multiple tips that the group was attempting to destroy evidence in preparation for the probe.

In South Korea, the proceedings of major investigations are reported to the office for senior presidential secretary for civil affairs via the Ministry of Justice.

The former presidential aide for civil affairs Woo Byung-woo is currently facing suspicions of dereliction of duty or collaborating in Choi's intervention in state affairs. He is one of Park's top secretaries who resigned last week following the latest scandal surrounding Choi.

Choi, 60, is suspected of meddling in state affairs and amassing profits based on her decadeslong friendship with the president. She has never been a government official nor had any policy experience.

Woo is also under a separate investigation regarding his personal corruption suspicions.

The prosecution, however, declined to confirm the allegations raised about Lotte, saying it cannot talk about testimonies or evidence obtained during interrogation.

Prosecutors here have been looking into allegations that Choi collaborated with another former presidential secretary to push local companies to donate some tens of billions of won to two nonprofit foundations including the K-Sports. There have been suspicions that the money was then unlawfully funneled to Choi.

The 7 billion won transferred to K-Sports in May is separate from another combined 4.5 billion won Lotte donated to the two foundations.