Rival parties agree to launch parliamentary probe into savings bank scandal

SEOUL, May 30 (Yonhap) -- The rival parties agreed Monday to launch a parliamentary investigation into a snowballing corruption scandal involving savings banks that has led to the arrest of a former top state auditor for alleged bribery amid speculation more high-level people could have been involved.
Hwang Woo-yea, floor leader of the ruling Grand National Party, and his main opposition Democratic Party counterpart, Kim Jin-pyo, agreed to form a special committee in next month's extraordinary session to look into the scandal, both parties said.
The deal came hours after prosecutors arrested Eun Jin-soo, a former top official of the Board of Audit and Inspection, on charges of accepting bribes from Busan Savings Bank when the bank was seeking his influence to avoid punishment for financial irregularities.
Also Monday, prosecutors indicted a former senior financial regulator on bribery charges.
The scandal has been a top political and social issue in South Korea for months.
Busan Savings Bank was found to have engaged in extending illegal loans to large shareholders and other financial irregularities involving billions of dollars in total. The bank has also been accused of tipping off its employees' relatives and VIP customers about its impending suspension in February so as to help them withdraw their deposits in advance.