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April 2008

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6 entries categorized "Campaign Finance"

April 16, 2008

(News Focus) Proportional representative system under fire over 'fishy' candidates

Yonhap, April 16, 2008

By Shin Hae-in
SEOUL, April 16 (Yonhap) -- South Korea's party-list proportional representation system has come under fire from voters, following allegations that the system has become a money spinner for parties who "sell" the 54 proportional slots in the country's legislature to the highest bidder.

   Most South Koreans that cast an extra ballot for the party of their choice in last week's parliamentary election had only a vague idea of whom the ballot would benefit, with the short campaign period leaving voters little time to scrutinize candidates listed in party rosters.

   Many were dumbfounded by the "fishy" personalities selected by the parties only after the vote.

   "When I cast a ballot for a party, I trusted it to have nominated competitive representatives, not some rich candidates who could just buy seats," said 67-year-old citizen Ham Sang-sup.

   Under South Korea's parliamentary elections system, each voter casts two ballots -- one for their candidate of choice and another for their favorite party. Six parties that secured over 3 percent of the vote in April 9 elections were thereby allocated extra seats in the 299-member National Assembly.

   Yet the conduct of parties regarding the proportional representation system -- introduced in 2004 with the aim of encouraging candidates with diverse backgrounds to stand -- has raised concerns over the flip side of the system.

   "Proportional representation has contributed to the increased number of parties, which is good for balance in the legislature," said political analyst Im Myung-jin. "But serious consideration appears necessary as the system is becoming the main method for parties to rake up donations."

The country's election law prohibits any monetary contribution in exchange for candidacy. If one violates the law, he or she can be sentenced to a maximum of five years in jail and fined up to 10 million won (US$10,000).

   But because party members are free to make special contributions to their parties, this prohibition has little effect.

   Quite openly, the main opposition party collected 10 to 100 million won from those who were elected on the proportional ticket. Minority parties are alleged to have received much larger contributions in exchange for a high ranking on the proportional candidacy list.

   The youngest lawmaker-elect of a minority conservative party formed by former ruling party lawmakers is at the center of the growing controversy, for allegedly both "paying her way" into the legislature and apparently exaggerating her qualifications.

   Yang Jeong-rye, 30, who got the No. 1 proportional seat of a group of former Grand National Party (GNP) leader Park Geun-hye supporters, is currently under investigation by prosecutors for allegedly paying 101 million won to the group.

   The GNP splinter group, consisting of lawmakers who bolted from the party after failing to win nominations, ranked third in the elections with 13 percent of the vote, earning a total of eight proportional seats.

   Yang has admitted to paying a "special membership fee", which is not illegal, while refusing to unveil the specific amount. She is suspected of paying a much larger sum than the group claims.

   Yang is also under fire for allegedly lying about her political career. While she claims to have been an organizer of a fan club of Park Geun-hye, the club says there is no such position.

   Political sources suspect that her nomination may have stemmed from the close ties between Yang's mother, who runs a construction company, and Suh Chung-won, the pro-Park group's leader.

   Prosecutors are also investigating Jeong Kuk-kyo, the No. 6 proportional lawmaker from the main opposition United Democratic Party, for paying the party 100 million won and an additional billion won last month, although the latter sum was returned to him later.

   The main opposition party grabbed 15 proportional seats, while the ruling GNP secured 22.

   Political pundits say one of the major problems is that the lists of proportional candidates are disclosed only after nominations for districts have been fixed, leaving little time for voters to scrutinize the qualifications of the women and men alternately listed by each party.

   Thus, new measures are needed to oblige parties to disclose the list of their proportional candidates months ahead of the elections after sufficient screening, they say.

   "The list of proportional candidates should be made public ahead of the nomination procedures for district candidates, so that voters can get to know about the political orientation of individual parties, and have a decent sense of who is on their list," said political analyst Yoon Jin-sik.

   Prof. Kang Won-taek of Soongsil University agreed.

   "The final list of proportional candidates was announced just before the deadline for the party candidate registration, when much more time is necessary for sufficient scrutiny," he said. "The system is necessary to supplement the country's legislature with diverse people, with expertise in a variety of social sectors and to protect the minority parties, but clear principles and standards are critical in achieving such goals."

Myongji University professor Yoon Jong-bin said that laws should be revised to prevent the party leadership from being influenced by personal relations, adding that the list of proportional candidates should be disclosed at least three months ahead of elections.

"And it would also be wise to think of a way to allow voters to express their preference for each proportional candidate ahead of the vote,' he added.

   hayney@yna.co.kr
(END)

November 12, 2007

Campaign Managers Struggle to Raise Funds Because of Stiff Law

Korea Times, November 12, 2007

Presidential candidates are running low on campaign funds for the December election as a law aimed at preventing corrupt links between politicians and businessmen is scaling down their ability to raise money.

The country's election law was revamped three years ago as several key campaign managers of then presidential hopefuls of the 2002 election were jailed for taking illegal slush funds from businesses.

The law bans campaign managers from fundraising directly from non-party members while allowing some donations from political supporters and state coffers.

Lee Hoi-chang, then candidate of the major opposition Grand National Party, apologized at that time for tens of billions of won (tens of millions of dollars) his party had received in two "truckloads" of hard cash.

President Roh Moo-hyun also apologized after prosecutors accused several of his key aides of taking more than 10 billion won in illegal campaign funds from companies during the campaign period.

Fundraisers for campaign managers, however, complain that government funds are not enough to run their massive campaigns, arguing other money-raising options should be available as long as they are legal.

The conservative GNP, whose candidate Lee Myung-bak this year is leading the race with popularity ratings of about 40 percent, has been granted 10 billion won in campaign funds from the government, but laments it's not enough to fill the gap.

"We're having trouble raising funds because party sponsoring organizations have all disappeared," said a GNP official, who declined to be identified. He added the state subsidy falls far short of the 46.5 billion won legal limit the government established for election funds.

Lee Hoi-chang, former GNP standardbearer who last week announced his third straight presidential bid, this time as an independent, is depending solely on his personal assets and loans, his aide said.

Lee, who instantly achieved support ratings of over 20 percent, was forced to change his personnel plans and now intends to run fewer ads, said Kang Sam-jae, a campaign strategist. "We're penniless."

The pro-government United New Democratic Party, whose standardbearer Chung Dong-young is struggling to improve his approximately 10 percent support level, has voiced similar concerns.

"We're essentially running our campaign on credit," said Moon Hak-jin, a campaign director. Moon said his party has formally asked its 140 lawmakers to borrow 30 million won from financial organizations so the loans can be funneled into the race.

"Half of them have already passed their credit limit," he said.

(Yonhap

April 25, 2007

Angry residents say disgraced politicians must pay for new elections

Under loophole, taxpayers’ money used for by-elections to fill posts vacated due to corruption

Hakyoreh, April 24, 2007

Residents in local constituencies are increasingly calling for politicians removed from their positions after charges including corruption and election fraud to pay for the costs of subsequent by-elections to choose a new person to fill the post.

This movement is gaining momentum in several regional constituencies where the costs of by-elections are paid for with taxpayers’ money. On April 25, 55 constituencies around the country will hold by-elections due to officials being removed from office due to corruption or election fraud; the total cost of these unexpected elections will total an estimated 6 billion won (US$6.47 million). While the central government bears the financial burden for parliamentary by-elections, the cost of by-elections for mayors or other regional posts is being financed by each local office.

At the center of the controversy has been a budget loophole for funding unexpected by-elections for local offices. Local governments have been able to spend "emergency funds," set aside to cope with large-scale accidents such as epidemics or floods, to pay for the by-elections.

On April 20, about 800 resid