South Korean prosecutors investigating allegations of preferential hiring involving former President Moon Jae-in’s former son-in-law, surnamed Seo, at Thai Eastar Jet have expanded their inquiry to include Moon’s daughter, conducting searches and seizures at her homes, office, and vacation property.
According to a Chosun Ilbo report on Sept. 1, the Jeonju District Prosecutors’ Office raided Moon Da-hye’s residence in Seoul’s Jongno District, her exhibition planning company in Seodaemun District, and her vacation home on Jeju Island on Aug. 30. Moon Da-hye purchased the Jeju property for 380 million won in July 2022 from Father Song Gi-in, a mentor to her father, Moon Jae-in.
The search warrant reportedly named former President Moon as a suspect in the bribery investigation. The alleged bribe includes approximately 223 million won in salary and living expenses received by Seo during his tenure as an executive at the budget carrier from July 2018 to April 2020. Legal experts suggest that former President Moon may inevitably face questioning in this case.
Prosecutors suspect that former Democratic Party lawmaker Lee Sang-jik, who own the airline, secured Seo’s employment and assisted his family’s relocation to Thailand in exchange for his appointment as chairman of the Korea SMEs and Startups Agency (KOSME) in March 2018. They recently questioned Cho Kuk, leader of the Rebuilding Korea Party, who was serving as senior presidential secretary for civil affairs at Cheong Wa Dae when Lee was appointed.
Prosecutors view Seo’s salary as a bribe, having determined that Moon Jae-in and his wife were providing financial support to their daughter’s family but stopped once Seo secured employment. A prosecution official noted that charges of either direct bribery or post-employment bribery could be applicable.
The prosecution has uncovered several suspicious large deposits in Moon Da-hye’s bank accounts.
Earlier this year, they raided the home of a friend of former First Lady Kim Jung-sook, who had transferred 50 million won to Moon Da-hye on Kim’s behalf. The friend made the transfer without using a bankbook, listing the sender as “[friend’s name] Kim Jung-sook,” which led the court to issue a search warrant. The 50 million won was reportedly delivered to the friend, wrapped in cloth, by a Cheong Wa Dae employee.
A lawyer who served as a chief prosecutor said, “Using intermediaries in transactions is a common money laundering tactic to obscure the source of funds,” adding that “routing cash through multiple people before it reaches the daughter raises serious concerns about the funds’ origin and nature.”
Another dubious sum sent to Moon Da-hye was traced to a publisher of former President Moon Jae-in’s book, “Moon Jae-in’s Destiny,” which transferred 250 million won to her. A staffer from the publisher claimed that 200 million won was for design and editing work [by Moon Da-hye], while the remaining 50 million won was a loan. It is suspected that funds intended for the former president were instead handed to his daughter.
These financial transactions have come to light as part of the investigation into whether Moon Da-hye’s family was financially independent without parental support. Legal experts argue that, given the substantial sums in Moon Da-hye’s accounts, the origins of these funds and potential suspicions such as tax evasion or unreported gifts need to be thoroughly examined.
