Collusion Among Officials, Family Corporations... 729 Referred for Prosecution in 'Entrenched Local Corruption' Crackdown

The police have investigated and referred 729 individuals to the prosecution within six months as part of a crackdown on entrenched local corruption involving collusion between local government officials and private companies. In particular, the authorities focused investigations on direct contract corruption, where public officials illicitly benefit by establishing companies under family members’ names and securing unfair deals, resulting in 44 individuals being referred for prosecution.

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The National Police Agency announced on September 20, 2026, that since March of this year through September 16, a total of 1,863 people have been caught for local collusion-related corruption, with 729 (including 27 detained) referred for prosecution. The special crackdown on entrenched corruption will continue through October 31, with a focus on five categories: unfair contracts, financial corruption, abuse of authority, misuse of internal information, and illegal negligence.

By category, abuse of authority—including exerting undue pressure or receiving money related to work—accounted for the largest share with 841 people (45.1%). Financial corruption, such as misappropriating public funds through document falsification or inflating expenses, followed with 814 individuals (43.7%). In terms of status, 803 (43.1%) were public officials, followed by 703 (37.7%) from private companies. Many cases involved brokers facilitating collusion between officials with licensing or authorization powers and businesses.

In particular, the police designated illegal direct contract activities—where local public officials gain profits through borrowed-name operations or family-owned shell companies—as the top concentrated investigation priority. By concentrating investigative resources, they detected 33 cases involving 124 individuals. Among them, 44 (including 5 detained) have been referred for prosecution, and investigations are ongoing for 76 others.

Hong Seok-ki, head of the National Investigation Headquarters at the National Police Agency, stated, "Entrenched local corruption, such as irregularities and privileges in local administration, is a serious crime that undermines the fairness of local communities and erodes public trust in national policies. The police will thoroughly pursue and firmly crack down on the chains of corruption to ensure that local collusion cannot take root," he emphasized.

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