Corruption Case Clouds S. Korean Election : Roh Lists Assets, Pledges Honesty

President Roh Tae Woo deflected questions about a widening corruption scandal Thursday in his first news conference since assuming office and portrayed himself as an honest public servant by disclosing his personal assets.

In what was said to be the first such accounting by a South Korean government leader, Roh told reporters that he holds assets worth about $700,000, including real estate, stocks and bank deposits.

Roh’s unusual gesture came as allegations of nepotism and influence peddling escalated against the family of former President Chun Doo Hwan, whom Roh replaced Feb. 25.

Chun’s younger brother, Chun Kyung Hwan, was indicted Saturday on charges of embezzling approximately $10 million while head of a government-supported development agency, the Saemaul Movement, during the elder Chun’s presidency.

In a related development, authorities have barred Chun’s father-in-law from leaving the country, although no charges have been brought against him, press reports said Thursday.

Major Campaign Issue

The scandal has become the major issue in the campaign for Tuesday’s National Assembly election, and some political analysts say it may have unpredictable effects on the balloting and on the stability of the Roh administration. Others say the investigation could provide an opportunity for Roh to consolidate his position and enhance his reputation as a champion of democratic reform.

But the initiative may be shifting to opposition leaders and the news media, which, freed recently from years of strict government censorship, are demanding a thorough investigation of an array of corruption allegations against Chun’s relatives and cronies.

Asked at the news conference about his intentions, Roh reiterated a campaign pledge for clean government but stopped short of saying he would back an aggressive probe of Chun, his former military colleague and political patron.

“You will remember numerous promises I made to the people that there cannot be a sanctuary in dealing with corruption and injustice,” Roh said. “This will be my promise to the people, and it will be kept throughout my entire term.”

He said he will stop his own family from participating in government affairs and alluded to the fact that he already has blocked the candidacy of several relatives who had hoped to run in the National Assembly election.

He added that the Saemaul case is “being investigated by the prosecutor’s office without any outside interference.” But he also suggested a desire to see the scope of the scandal contained.

Chun resigned from his controversial post-presidential job as chairman of the Advisory Committee of Elders on April 13, saying he was taking responsibility for “the behavior of my foolish brother.”

Eight Authoritarian Years

After exercising authoritarian powers for nearly eight years following his 1980 military coup, Chun had been expected to wield considerable behind-the-scenes influence from his advisory position.

It is widely speculated that Roh gave assurances of clemency to Chun on the condition that he abdicate his authority. Others theorize that Roh is allowing a limited investigation of the Saemaul Movement as part of a cautious power struggle against Chun.

“He’s saying to Chun’s followers that he’s the one in charge, that if Chun couldn’t stop the investigation of his own brother, he’s not going to stop an investigation of you,” said a Western diplomat, who spoke on the condition of anonymity.

“At the same time, the image of Roh cracking down on corruption strengthens the ruling party,” the diplomat said. “All the scum that’s coming out is being leaked by the government. This scandal is intentional.”

So far, public indignation has been lukewarm. But genuine pressure is building in the media and among Roh’s political opponents, opening the possibility that the probe could spread--possibly to Chun himself.

Opposition leaders have gone so far as to accuse Roh of complicity in the Saemaul scandal, noting that the agency’s budget doubled under his supervision when he served as home affairs minister in the early 1980s.

They also have raised suspicions about Chun’s elder brother and his wife’s brother and uncle.

The Saemaul Movement was once highly respected and was credited with many successful development projects in the 1970s. But rumors of corruption in the agency have festered for years, and Chun Kyung Hwan was believed to be immune from oversight because of his powerful brother. Few were surprised when the scandal broke in March.

Disgusted, Not Surprised

“The reaction was ho-hum, with a yuk,” said Edward W. Poitras, a missionary who has lived for many years in Seoul. “It isn’t as though everybody thought the government was honest and then found out differently. People are disgusted--but they’re not really very surprised.”

Cynicism about government accountability mixes in Korean society with a tolerance for nepotism and privileged connections, said Horace G. Underwood, an American educator whose family has been associated with Seoul’s Yonsei University for four generations. In many situations, only a fine line separates influence peddling from giving gifts and favors, he said.

“It’s a moot point as to when that pull becomes corrupt,” Underwood said. “If you go by the book, you can’t get anything done.

“Korean society assumes corruption,” he said, “even when there isn’t any.”

Meanwhile, a source in the prosecutor’s office refused to comment on reports that authorities have already expanded their corruption investigation beyond Saemaul. He intimated that prosecutors are not entirely free from pressure by the Blue House, as the president’s office is known. But he did not rule out the possibility of new developments.

“It hasn’t ended yet,” this source said. “As evidence emerges, the prosecutor’s office will continue its investigation.”