Court Issues Arrest Warrants for Kim Dae-ki and Yoon Jae-soon in Budget Misuse Case

By KWONKYUHONG Posted : May 23, 2026, 20:08 Updated : May 23, 2026, 20:08
Court hearings on the arrest of former senior officials accused of illegally reallocating budget during the relocation of the presidential residence took place on May 22. Pictured are Kim Dae-ki, former chief of staff, and Yoon Jae-soon, former secretary for general affairs, at the Seoul Central District Court. [Photo=Yonhap News]
The Seoul Central District Court has issued arrest warrants for Kim Dae-ki, former chief of staff, and Yoon Jae-soon, former secretary for general affairs, in connection with allegations of illegal budget reallocations during the relocation of the presidential residence from Cheong Wa Dae to Hannam-dong. This marks the first arrest since the special prosecutor's team, led by Kwon Chang-young, was established in February.
The court conducted a pre-arrest hearing for Kim Dae-ki, Yoon Jae-soon, and Kim O-jin, former secretary for management, on May 22, starting at 4 p.m. and concluding with the issuance of warrants for Kim and Yoon around 11:30 p.m. However, Kim O-jin's warrant was denied.
The court determined that Kim Dae-ki and Yoon Jae-soon posed risks of flight and evidence destruction, warranting their arrest. In contrast, it found that Kim O-jin had acknowledged key facts and complied with bail conditions, thus posing no flight risk.
The three officials are accused of illegally reallocating approximately 2.8 billion won (about $2.1 million) from the Ministry of the Interior and Safety's budget, which was unrelated to the relocation, to pay an unqualified contractor, 21Gram, for renovation work.
The special prosecutor's team filed for arrest warrants on May 19, citing abuse of power. They revealed that despite objections from relevant departments, the officials illegally diverted funds from the Ministry of the Interior and Safety's budget for the management of government buildings, which was unrelated to the presidential residence.
When the relocation was announced, former President Yoon Suk Yeol stated that the total cost for moving the presidential office and residence was estimated at about 49.6 billion won, with the relocation itself costing around 2.5 billion won. Of that, approximately 1.44 billion won was allocated for interior work.
However, the special prosecutor's investigation found that the estimate provided by 21Gram for the renovation was about 4.12 billion won, but the presidential office proceeded with the work without verifying or adjusting the estimate. It was also revealed that necessary documents, such as contracts and blueprints, were not submitted at the time.
The special prosecutor's team believes that the presidential office pressured the Ministry of the Interior and Safety to illegally reallocate 2.8 billion won in contingency funds to secure the increased construction costs. Reports obtained during the investigation indicated that the Ministry expressed difficulties in creating additional contingency funds.
With the arrests of Kim Dae-ki and Yoon Jae-soon, the special prosecutor's team plans to investigate whether higher-ups in the presidential office, including Kim Geon-hee, were involved in the budget execution and contractor selection processes.
A spokesperson for the special prosecutor's team stated, "We will adhere to legal procedures while striving to clarify the points of profit arising from illegal activities during the relocation process to address public concerns."



* This article has been translated by AI.

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