 |
| Deputy Prime Minister and Finance Minister Hong Nam-ki, fist-bumps a screen between him and an employee who sold ‘New Deal Fund’ products at Korea Development Bank April, 1. Korea Times file |
By Lee Kyung-min
Korea Growth Investment Corp., a quasi-government investment firm with 22.7 trillion won ($19.6 billion) in publicly-raised funds under management, recently hired a former Cheong Wa Dae official as an investment manager, in what market watchers view as another “unqualified” political figure being parachuted into a high-paying position.
The official, Hwang Hyun-sun, has been appointed to lead the firm’s department that will be in charge of managing the “New Deal Fund,” the state-raised pool of investment launched as part of a long-term government drive to identify future sources of growth.
Many point to his lacking professional skill set as a fund manager, as illustrated by his background as a campaign operator and a political operative for then-opposition party presidential candidate Moon Jae-in.
Hwang is a former top official of the ruling Democratic Party of Korea (DPK), having served under the disgraced former justice minister Cho Kuk for two years under the Moon administration.
He has no financial expertise whatsoever, they claim, as evidenced by him having none of the elementary credentials required to begin a career as a fund manager.
Most of his peers have at least 15 years of experience in the field of investment and have a deep understanding of the financial markets, a reason why few believe his appointment was merit-based.
Further fanning criticism is conjecture over which investment partners he would choose, a process critics say should be governed by fairness but which is highly likely to be compromised.
“The concern is justified because whether he would be able to competently manage the fund is highly questionable, let alone the scenario where he would not be able to identify errors made by those many years his junior in the first place,” an industry official said.
Hwang is expected to receive an annual salary of about 200 million won at the firm without regular oversight including any audit of the government organization by the National Assembly. This raises concerns because state lenders or any other body that manages large public funds will be subject to audits and inspections.
Cheong Wa Dae denied the allegation that Hwang landed a job illegitimately, stressing that no influence from the presidential office was at play.
Tit-for-tat continues over ‘parachuted’ nomination
Source: Buhay Kapa PH
0 Comments