A lawyer standing trial in the Daejang-dong development scandal testified that he had heard that main opposition Democratic Party(DP) leader Lee Jae-myung held a stake in one of the affiliates in the project.
Nam Wook, who was released from detention early Monday when his custodial period expired, made the claim at his latest hearing at the Seoul Central District Court.
Nam admitted to the court that he had withheld some details from prosecutors, adding that Kim Man-bae, another key figure in the scandal, had told him that the Seongnam mayor’s office, occupied by Lee at the time, held a stake in Cheonhwadongin One.
Cheonhwadongin One, which holds around 30 percent of the common shares of a special purpose company set up for the Daejang-dong development project, had received 121 billion won in dividends.
Nam also testified that he had delivered over 300 million won to Yoo Dong-kyu, the former acting chief of Seongnam Development Corporation, in 2013, and understood at the time that the money would go to Lee's two closest confidantes, Jeong Jin-sang and Kim Yong.
Both Jeong and Kim have been arrested on bribery, political fund violations and other corruption charges.