[비즈한국] Last December, a chairman surnamed Gong, who was implicated in the Young Poong Paper006740 stock manipulation scandal, was released on bail after his detention period expired. The charge applied by the prosecution at the time of his arrest was that he had siphoned off 660 billion won by inflating stock prices. The Seoul Southern District Prosecutors' Office Financial and Securities Crime Joint Investigation Team (Chief Prosecutor Ha Dong-woo) claimed at the time of the indictment that this was the largest criminal profit from a single stock in history.
On the 8th, a group including the actual operator of a cryptocurrency issuer, surnamed Lee, who swindled about 30 billion won from some 13,000 investors using "QueenBee Coin"—a scam coin promoted under the name of famous actor Bae Yong-joon—was released on bail. It has been about 170 days since their arrest on July 19 last year, and the court granted bail as the six-month maximum detention period for a first-instance court under the Criminal Procedure Act was approaching.
150% Capacity in Every Cell to Create 'Empty Space'
The overcrowding of detention centers is being cited as the reason for this series of bail releases for white-collar criminals. With detention centers already severely overcrowded, the security measures implemented following President Yoon Suk-yeol’s emergency martial law decree have reportedly led to an increase in "releases."
In fact, Kakao035720 founder Kim Beom-su, indicted for market manipulation during the acquisition of SM, and former Chorokbaem047820 chairman Won Young-sik, indicted for stock manipulation, were also released on bail. Beyond white-collar criminals, others are also being released, such as YouTubers Caracula and Guje-yeok, who were indicted for blackmailing YouTuber Tzuyang.
A lawyer who recently requested and received approval for the bail of a corporate executive explained, "Since President Yoon Suk-yeol's arrest, there has been a situation where some spaces in the detention center must be left empty, forcing a large number of inmates to be transferred from the Seoul Detention Center to others. I heard that every room is holding at least 40-50% more than its capacity. As a result, clients whose cases have room for legal dispute, such as first-time offenders or white-collar criminals, keep requesting bail, and the courts are accepting them whenever possible."
A lawyer who is a former judge added, "It’s not just bail that’s increasing. The detention center overcrowding problem is so severe that they are releasing people after they serve only 60-70% of their sentences. You can assume that those who have not committed serious crimes are mostly released before completing their full sentences if they behave exemplarily in the detention center."
Reducing Incarceration: Reaching a Point of Sending Official Requests to Courts and Prosecutors
This is not just a problem in the Seoul metropolitan area. The Busan Detention Center is experiencing such severe overcrowding that it has gone as far as sending official letters to the prosecution and the courts asking them to reduce the number of detained suspects. Late last year, the Busan Detention Center sent letters to the prosecution, police, and courts requesting "cooperation regarding the overcrowding of the Busan Detention Center." In the letter, the detention center requested, "Due to the saturation of inmates, investigative agencies should deliberate as much as possible before requesting arrest warrants, and the courts should actively cooperate with release requests such as bail or suspension of execution of arrest." Currently, the occupancy rate of the Busan Detention Center is known to be among the highest in the country, at approximately 150% for male inmates and 200% for female inmates.
In particular, inmates who suffered discomfort due to overcrowding filed a damages suit against the government in 2017, and the court ruled that the government should pay 1.5 million won and 3 million won, respectively. Since then, similar rulings have followed, and the associated social costs have been increasing.
A legal expert who previously handled related matters at the Ministry of Justice expressed concern, saying, "The problem of 'living space per person,' which is the most important aspect of human rights that must be respected within a detention center, is in a critical state. Because detention centers are seen as undesirable facilities, both citizens and local governments are reluctant to host them, making it impossible to expand or relocate them, which seems to only deepen the overcrowding problem."