South Korea cracks down on retired officials' alleged profit schemes

A shadowy network of retired officials stands accused of draining public funds for years. Now, Seoul is vowing to reclaim millions—and end the impunity.

, and Administrator

2026 May 5 . 6:08 AM

1 min read

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South Korea cracks down on retired officials' alleged profit schemes

South Korea’s presidential chief of staff, Kang Hoon-sik, has demanded urgent action against suspected business abuses by retired employees of public institutions. He highlighted long-standing issues where former officials allegedly exploited their positions for unfair profits at public expense. Kang specifically pointed to a retirees’ association at the state-run Korea Expressway. The group stands accused of improperly managing expressway service stations to generate excessive profits. He described such practices as illegal and unjust, burdening the public for decades.

To address the problem, Kang ordered the Finance Ministry to launch a full investigation. The probe will cover all public institutions and aim to uncover any similar abuses. He also stressed the need to recover unjust proceeds and hold those responsible accountable. The goal, Kang said, is to restore public trust. Measures will be developed to prevent such misconduct in the future and ensure stricter oversight of retired officials’ business activities.

The Finance Ministry must now investigate the allegations and propose solutions. Recovering ill-gotten gains and enforcing stricter regulations will form part of the response. The government aims to eliminate preferential treatment and prevent further abuse of public resources.