Lee Jae-myung Seongnam Development Allegations: Prosecutors Close Probe After 3 Years Without Indictment

The investigation into 'preferential treatment allegations in the development of the Korea Gas Corporation site in Jeongja-dong, Seongnam City, Gyeonggi Province,' involving then-Seongnam Mayor Lee Jae-myung, has concluded after three years with a decision of no charges (closure without indictment). On the 17th, the Corruption and Economic Crimes Investigation Division 3 of the Seoul Central District Prosecutors' Office dismissed the charges of abuse of power, obstruction of exercise of rights, and dereliction of duty against then-Seongnam Mayor Lee Jae-myung.

The allegations emerged during the 20th presidential election campaign and pertain to a residential complex development project on a 16,725㎡ plot of land at 215 Jeongja-dong, Bundang-gu, Seongnam City. Following the relocation of the Korea Gas Corporation headquarters in September 2014, efforts to sell the site failed six times due to regulations. A company, 'A', subsequently won the bid for the site in June 2015. Allegations were raised that then-Seongnam Mayor Lee Jae-myung then allowed housing development on this plot, granting preferential treatment by increasing the floor area ratio to 560%.

Prosecutors reportedly dismissed the case after three years, determining that there were insufficient specific reasons or circumstances to initiate an investigation.