K-Culture Valley

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Meanwhile, allegations have surfaced that CJ Group's investment amounting to nearly 875 million dollars in the K-Culture Valley project was a decision made to appease the government. Here’s more on the case.

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It was at the end of 2014 that CJ decided to take part in the K-Culture Valley project. The decision came at the suggestion of the Ministry of Culture, Sports, and Tourism. A source inside CJ said that a high-ranking Culture and Sports Ministry official made an oral proposal to take part in the K Culture Valley project. CJ immediately got involved in the 875-million-dollar project to build a large theme park and lodgings. A CJ source said that the overall atmosphere inside the company was guarded against Cha Eun-taek, an influential figure with alleged ties to Choi Soon-sil.

[Soundbite] CJ Employee(Voice modified) : "Starting last year, the overall atmosphere among uswas that we shouldn't be associated with Cha Eun-taek, because he has a bad reputation."

But then CJ increased the project cost from 875 million dollars to more than 1.2 billion dollars earlier this year. CJ's increased funding gave rise to speculation that the group's involvement in the K-Culture Valley project was aimed to making an appeal for CJ Chairman Lee Jay-hyun, who was on trial for embezzlement and breach of trust at the time. In fact, Lee was the only business tycoon included in last August's presidential pardon.