The Education Ministry said Tuesday they had notified a foundation chairman and five auditors at one of the nation’s prestigious women’s universities of their potential terminations for misappropriation of school donations.
The Sookmyung Women’s University foundation board was accused of placing donations addressed to the school administration in its account, and then sending the money to the school’s management as though it were the foundation’s required financial contribution to the university.
The amount reached 68.5 billion won ($61 million) collected from 1995 to 2009.
“The ministry investigation found that the donations were supposed to be sent to the university president in the name of the school development fund. But the money was disguised in order to benefit the foundation,” a ministry official said.
“The money was sent back to the school administration later, but transferring school money is viewed as embezzlement according to a recent Supreme Court’s ruling,” he added.
According to the official, private school law forbids school money from being transferred to a foundation’s account.
Citing the misappropriation of the school donations, the ministry held foundation chairman Lee Yong-tae, who has been in his position for 14 years, and five other auditors responsible for the wrongdoing.
The ministry also warned the university and founding organization to correct their school accounting system. Sookmyung board members have until the end of the month to offer a rebuttal.
If they do not, the ministry is expected to go through with the members’ terminations and forbid them from holding membership on any school board in the future.
By Lee Woo-young (
wylee@heraldcorp.com)
