dailies-editorials (3)

End lawmakers' corporate fund-raising during audits

Corporate donations tied to audit witness exemptions threaten the integrity of parliamentary oversight and must end.

Lawmakers have reportedly pressured major corporations to contribute to the Agricultural and Fishing Villages Collaborative Cooperation Fund during annual National Assembly audits, wielding their authority to summon executives as witnesses. The allegation that lawmakers traded exemptions from questioning for financial contributions exposes a disturbing practice: turning parliamentary oversight into a fund-raising business.

Minutes from the Assembly's Agriculture, Food, Rural Affairs, Oceans and Fisheries Committee describe how lawmakers have resorted to "begging," "threats" and "intimidation" to secure contributions each year. Ahead of October's audit, Hanwha Group and Posco reportedly escaped pressure to have their executives summoned only after promising payments to the fund.

Established in 2017 -- after the Korea-China FTA was implemented in December 2015 -- the fund aimed to raise 1 trillion won (US$747.6 million) over 10 years to compensate farmers and fishermen harmed by the agreement. By June this year, it had collected 320.7 billion won, including 150.7 billion won from private companies.

Contributions were supposed to be voluntary, particularly from companies benefiting from the FTA. But parliamentary pressure has made them resemble a quasi tax. Lawmakers have even pressed domestically oriented businesses with no connection to the agreement to contribute.

The committee is now seeking to add a provision stating that companies "should endeavor to contribute to the fund every year." This would effectively turn voluntary donations into an obligation. It is difficult to describe such legislation as anything other than a measure designed to pressure businesses.

Farmers and fishermen who suffer losses from FTAs deserve assistance. But that cannot justify twisting corporate arms to extract money. The proper sequence is to accurately assess the damage and first allocate public funds to compensate those affected.

Industry Minister Kim Jung-kwan, who recently visited China, reflected on the business environment in a Facebook post.

"Our companies fight fiercely in global markets every day," he wrote. "We tell them to innovate, invest and expand globally, but I found myself wondering how much we have actually done to create conditions in which they can operate freely."

Instead of enabling businesses to compete, the National Assembly is holding them back. Lawmakers urgently need to reform their own conduct and restore the integrity of parliamentary oversight.

The fund also requires stricter scrutiny. Its projects must be examined to ensure that contributions serve affected rural communities rather than becoming discretionary money for lawmakers seeking favors for their constituencies.

Supporting rural livelihoods is a legitimate public objective. Using the threat of parliamentary summons to finance that objective is not. The distinction must be upheld.

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