Controversy over registering as representative of an online shopping mall
Army to determine whether there was a legal violation
Broadcaster Lee Kyung-sil and her son, actor Son Bo-seung. KBS broadcast footage
The Ministry of National Defense is looking into allegations that actor Son Bo-seung, the son of Lee Kyung-sil, engaged in for-profit activities during his military service.
On the 4th, it was confirmed that the Inspector General’s Office of the Army’s Capital Defense Command 52nd Division received a report regarding alleged violations by full-time reservist Son Bo-seung of the bans on profit-making work and holding concurrent positions, and is continuing the related investigation.
Prestige, the online shopping mall operated by Son Bo-seung, recently sold the egg brand ‘Uaran’ and became embroiled in controversy over high prices.
It also came to light that, despite serving as a full-time reservist, he registered himself as the representative of Prestige in his own name and continued profit-making activities, drawing criticism. Son enlisted in June.
Under Article 30 (Prohibition of Profit-Making and Concurrent Positions) of the Framework Act on the Status and Service of Military Personnel, profit-making activities and concurrent jobs by soldiers are strictly prohibited. Profit-making outside military duties and unauthorized concurrent positions constitute grounds for disciplinary action.
If the inspectorate’s investigation reveals illegality, it will request disciplinary action, after which a disciplinary committee will deliberate and a decision and disposition will follow.
The investigation is expected to examine in detail the period of the shop’s operation, whether profits were generated, whether permission for concurrent employment was sought, and whether his military duties were impeded.
Full-time reservists are also subject to disciplinary rules comparable to those for active-duty soldiers; violations of the prohibition on profit-making and concurrent employment are regarded as conduct undermining military discipline and may lead to placement in the military discipline unit (guardhouse) and restrictions on leave.
The related report raised an issue under Article 19 of the Framework Act on the Status and Service of Military Personnel, arguing that independently running commercial, profit-seeking operations constitutes a clear pursuit of profit in violation of the law. It also pointed out, “The above shopping mall is structured to continuously sell Uaran products during the full-time reserve service period.”
As the controversy grew, Son closed the shop as of the 26th of last month. Lee Kyung-sil’s side explained, “Because it has required continued investment, no profit has been made yet.”
Attorney Jeong Tae-won of Law Firm LKB Pyeongsan said, “During military service, one cannot engage in work to earn money outside of military duties, and this is not a structure in which an exception is recognized by permission from the Minister of National Defense. Article 19 of the Enforcement Decree also stipulates that activities such as operating a shopping mall and sales activities that repeatedly and continuously generate profit constitute profit-making work. By contrast, activities unrelated to profit, such as lecturing or writing, are permissible if one obtains permission for concurrent duties under Article 20 of the Enforcement Decree.”
He added, “In this case, what will need to be verified through the investigation is how he actually participated in running the operation and whether sales occurred. However, if he maintained a business registered in his own name or there are indications that he took part in the sales process, there is ample possibility that this will be assessed as profit-making. In that sense, the military’s move to commence procedures to check the facts can be viewed as a standard response.”