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    Korea
     May 5, 2007
Rough and tumble, Korean style
By Donald Kirk

SEOUL - Just what goes on behind the high walls that surround the tightly guarded fortress homes and manicured lawns and gardens of Korea's latter-day nobility, the chieftains of the chaebol that dominate the economy, has always been a mystery.

Details of their love lives - which children were carried by their wives and which by assorted mistresses - as well as the flow of funds among their family members, from private coffers to those of



trusted consultants to government contacts - are hinted at but rarely exposed in the South Korean media.

Only when prosecutors zero in on one of the high-and-mighty for profligate fraud, in the form of bribes and share manipulation, do cases hit the headlines. Then, after the miscreants are tried and let off, usually with suspended sentences and fines, the public awaits the next revelation.

The latest allegations of chaebol abuse of power, while part of the same pattern, are a little different. The star attraction this time is the chairman of the Hanwha Group, Korea's 10th-largest chaebol, a sprawling empire of more than 50 companies, including subsidiaries, covering a wide spectrum, typical of the multi-tentacled chaebol, from chemicals to construction to finance.

Kim Seung-youn, 55, is accused not of bribery but of ordering his goons to kidnap and beat up half a dozen members of the staff of one of those ripoff karaoke bars favored by members of the chaebol class. Kim is even said to have had a hand in the beating, all in retribution for one member of the staff's roughing up his 22-year-old son, Kim Dong-won, in a brawl that left the son with a cut needing 11 stitches.

It's widely assumed that the chaebol chieftains, in the style of hereditary lords, second- or third-generation heirs to the chaebol founders, are capable of violent retribution against those who cross them, whether company lieutenants or union activists or disobedient members of their own families.

Ordinarily, a barroom battle would have escaped notice except that, in this case, one of the victims wrote about it on a weblog, and the media, led by Hankyoreh Sinmun, a left-of-center advocate of the policies of the government of President Roh Muu-hyun, picked up the scent.

True, the trail by then was nearly two months old - the fracas occurred in early March - but the blitz of publicity has frustrated any attempt at quietly resolving such an annoyance in the time-honored manner.

Ordinarily, chaebol royalty would think nothing of offering a little shut-up money - a pittance for a chaebol princeling but sometimes quite enough to make all that pain and suffering quite worthwhile to the recovering victim.

The intrusion of the Internet has exposed what chaebol royalty view as "private matters". Bubbling over into daily headlines, the story reveals some of the ambivalence and hypocrisy of modern Korean business and society.

The elder Kim, after all, is the son of the late Kim Jong-hee, who made his mark selling the dynamite used by construction companies - and went on to manufacture tear gas, laced with an eye-watering pepper compound, used to suppress violent anti-government demonstrations. Not for nothing did he earn the nickname "Dynamite Kim" before his death 26 years ago.

Kim Seung-youn definitely appeared more sophisticated - and worldly - than his father. He loved to court American conservatives, setting up something called the "Korea-US Exchange Council" with links to the heart of the right-wing Washington establishment. From his soaring glassy headquarters in central Seoul, he sponsored seminars and speeches at the next-door Radisson Seoul Plaza, a Hanwha holding, drawing such influential figures as Edward Feulner, president of the Heritage Foundation, and retired American generals dedicated to preserving the Korean-US alliance.

So taken was Kim by his high-level American friends that he was delighted to send son Dong-won to Yale, still ranked as one of the two or three best US universities despite the embarrassment of having to count George W Bush among its graduates. Straddling cultures and countries, little Kim was spending his penultimate year at Seoul National University when rudely set on, he told Daddy, at the bar.

While courting American conservatives, the elder Kim has always shown an interest in the manly art of self-defense. According to his official bio, he has headed the Korean and Asian amateur boxing organizations and served on the Korean Olympic Committee when Korean boxing was at its roughest. He was, it seems, vice president of the Korean Olympic Committee during the 1988 Seoul Olympics when referees declared the future great American boxer Roy Jones the loser in a match in which Jones clearly outclassed his Korean opponent.

Korean chaebol chieftains at the time were also at their roughest. Hyundai Group founder Chung Ju-yung, at the peak of his powers in the 1970s and 1980s, before an ill-advised, ill-fated campaign for president in 1992, was known to slap and punch subordinates at staff meetings.

With the full backing of president Park Chung-hee, assassinated by his intelligence chief during labor disturbances in 1979, and that of Park's successor, General Chun Doo-hwan, whose legacy remains his brutal suppression of the Kwangju revolt in 1980, Chung was merciless toward union activists.

In May 1988, in one well-documented episode, an organizer in the Hyundai headquarters in Seoul was kidnapped outside a bar in Seoul's fashionable Kangnam district by six men who drove him several hundred kilometers before letting him go. Nor was he the first union organizer to have been kidnapped. Others, he told this correspondent, had simply "disappeared".

Several months later, in January 1989, men with baseball bats and iron pipes poured into a dormitory housing workers who had lost their jobs at Hyundai factories in Ulsan, pulled them outside and beat them. At the same time, goons armed with bats and pipes beat up workers at a weekend training session seen as an anti-Hyundai rally.

Those, however, were the bad old days. The leftist Confederation of Korean Trade Unions, an illegal organization at the time, is now well established. Workers at major South Korean companies strike periodically but earn more than do their counterparts in most other countries - and also considerably more than less well-protected workers in small and medium enterprises in South Korea.

Beneath appearances, though, violence, like corruption, remains a method to enforce the dominance of the chaebol system that has emerged over the past half-century and more since the Korean War.

Kim Seung-youn, as leader of South Korea's 10th-largest chaebol, with a fortune estimated by Forbes at US$800 million, is no stranger to the uses of force. Even as investigators searched his estate for clues of the latest incident, the Korean Broadcasting System (KBS) reported that he had flailed away at a worker in a bar two years ago with a broken bottle, inflicting severe enough wounds to keep the man in a hospital for the next two months. The victim reportedly was reluctant to talk for fear of of his life.

Similarly, the victims of the latest episode also may be reluctant to reveal all they know about their ordeal, and the police, until the story surfaced on the Internet, were suspiciously slow to act - so slow that closed-circuit video footage that might have shown what happened no longer exists.

Who indeed wants to risk the wrath of another attack - one for which there are no witnesses, no angry words, possibly no prolonged torture, just a "disappearance"?

This case, however, may not fade so easily. Roh has promised a full investigation and prosecutors want an arrest warrant. Nobody forgets that Roh, as a young labor lawyer, began his political career defending the workers who were the victims of attacks by chaebol goons.

Journalist Donald Kirk has been covering Korea - and the confrontation of forces in Northeast Asia - for more than 30 years.
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