Former lawmaker Kwak Sang-do has been referred to trial on charges of bribery related to the Daejang-dong land development scandal.
Prosecutors indicted the former opposition lawmaker on Tuesday on charges of accepting bribes from an asset management firm at the center of the scandal. The firm allegedly transferred the funds to his son, whom it employed, under the guise of severance pay.
He faces three charges, including bribery and violation of the Public Fund Act.
Kwak reportedly received five billion won from Hwacheon Daeyu in April of last year in return for helping the company form a consortium with Hana Bank related to the development project.
Prosecutors believe Kwak exerted influence on Hana Financial Group Chairman Kim Jung-tai to keep the consortium alive at the request of Kim Man-bae, the largest shareholder of Hwacheon Daeyu.
Kwak is also suspected of receiving illicit political contributions around the time of the 2016 parliamentary elections to the tune of 50 million won from lawyer Nam Wook, another central figure in the project.