First 'unfit' ruling since 2018 verification pact — fourth consecutive term bid blocked

Province holds emergency briefing, pledges no pre-selected candidates

Scrutiny intensifies ahead of leadership searches at 11 provincial institutions

South Gyeongsang Province Spokesperson Yu Hae-nam holds a briefing Wednesday to reaffirm the province's personnel principles for heads of invested and funded institutions. [South Gyeongsang Province]
South Gyeongsang Province Spokesperson Yu Hae-nam holds a briefing Wednesday to reaffirm the province's personnel principles for heads of invested and funded institutions. [South Gyeongsang Province]

The South Gyeongsang Provincial Assembly has declared a candidate for a provincial public institution unfit for appointment — the first such ruling since the province and the assembly signed a personnel verification agreement in August 2018. The decision came during the assembly's first confirmation hearing for a provincial institution head since the launch of the ninth elected provincial administration.

With a series of leadership searches at provincial institutions on the horizon, South Gyeongsang Province said it would accept the assembly's judgment and moved to dispel speculation that a candidate had already been chosen.

The assembly's Economy and Environment Committee announced Wednesday that it had adopted a progress report rating Lee Hyo-geun, the nominee for chairman of the South Gyeongsang Credit Guarantee Foundation, as "unfit." Lee had served as the foundation's 12th through 14th chairman from January 2023 to June this year and was seeking a fourth consecutive term, but failed to clear the standing committee's vetting threshold.

The hearing focused heavily on procedural irregularities and concerns over prolonged consecutive tenure. Committee members questioned the appropriateness of the foundation's purchase last November of a former KB Kookmin Bank building in Seongsan-gu, Changwon, for 11.3 billion won ($8.35 million), with plans to invest an additional 20 billion won or more in renovation costs. The purchase of the aging building also drew criticism for making it unsuitable for other public institutions to move in, and Lee faced sharp rebukes for having maintained a registered address in Goyang, Gyeonggi Province throughout his three-and-a-half-year term.

As fallout from the personnel setback mounted, the province moved quickly to contain the damage. Provincial Spokesperson Yu Hae-nam held a briefing at the provincial government press center Wednesday morning, saying the province would ensure fair and objective appointments. "There is no recruitment or screening process in which a specific individual has been predetermined or kept in mind," Yu said.

During a question-and-answer session, Yu said it was Governor Park Wan-su's intention to accept the assembly's conclusion if it had ruled the candidate unfit, signaling that the nomination would in effect be withdrawn and a new recruitment process launched.

The assembly plans to formally transmit the progress report to the province as early as Thursday, following a plenary session report. The province said it would also rule out any pre-selection and significantly raise the vetting bar in filling leadership positions at 11 invested and funded institutions that are currently vacant or facing term expirations.


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