Prosecutors Indict CEO of Electric Vehicle Charging Station Firm for Embezzling 8 Billion Won in Subsidies

"Subsidies Used Like Free Money"

Officials and the corporation involved in a company accused of misappropriating subsidies for installing electric vehicle charging stations have been indicted without detention.

On June 29, the Joint Investigation Team for National Fiscal Crimes at the Seoul Northern District Prosecutors' Office announced that it had indicted Company A, an electric vehicle charging station installation firm based in Geumcheon-gu, Seoul, along with its CEO, Mr. B, and its chief financial officer, Mr. C, on charges of violating the Act on the Aggravated Punishment of Specific Economic Crimes (embezzlement) and the Subsidy Act. Mr. C is a former vice president of a commercial bank.

Seoul Northern District Prosecutors' Office will commence operations on the 19th.

According to prosecutors, Mr. B and Mr. C are accused of repaying 6.5 billion won in company loans in two installments between July and September 2023, after receiving approximately 24.4 billion won in subsidies from the Korea Environment Corporation under the "Zero-Emission Vehicle Transition Brand Project." Additionally, from July to November of the same year, they allegedly used 1.9 billion won in subsidies on 1,333 occasions for purposes other than intended, such as loan interest payments, taxes, penalties, insurance premiums, and congratulatory or condolence expenses. Company A reportedly applied for charging station installation subsidies indiscriminately, without considering whether they had obtained approval from local governments.

Last September, at the request of the Government Joint Anti-Corruption Promotion Team under the Office for Government Policy Coordination, prosecutors secured evidence over six months by tracing 66 bank accounts and conducting searches of offices.

Prosecutors sought an arrest warrant for Mr. B, but on the 16th, the court dismissed the request.

The prosecution stated, "The subsidies were used as if they were free money, ultimately resulting in tens of billions of won in losses to the national treasury. We will continue to respond strictly, in accordance with the law and principles, to fiscal crimes to ensure that taxpayers' money is not wasted through criminal acts."

This content was produced with the assistance of AI translation services.