South Korea audit agency issues caution to KBS president over audit independence
In short
South Korea's Board of Audit and Inspection said KBS president Park Jang-beom rejected nine requests from the broadcaster's own auditor to replace audit office department heads between June and September last year, and issued him a “caution”. A separate regular audit of KBS found problems across drama production costs, staffing and welfare spending, including a 73.5 billion won net loss in 2024.
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South Korea's Board of Audit and Inspection said it issued a “caution” to KBS president Park Jang-beom after he rejected nine requests from the broadcaster's own auditor to replace audit office department heads, according to the audit results announced on October 7. [ 1 , 2 , 3 ]
According to the findings, KBS auditor A returned to the post after a court injunction and asked Park between June and September last year to replace five department heads, including the audit office chief and deputy. Park refused all nine requests, citing among other reasons a case pending at the Supreme Court over the validity of the appointment of a successor auditor, and did not accept the requests even after the Supreme Court finalised the injunction decision in September last year. The audit agency said the circumstances could not be considered unavoidable and that the purpose of KBS's audit job regulations, which require personnel decisions in the audit department to follow the auditor's requests, could be undermined, Asia Economy reported. [ 2 , 3 ]
The audit also covered the tenure of former KBS president Park Min. He transferred three department heads, including the audit office chief and deputy, to other divisions in February 2024 without a request from the auditor. After a court suspended the transfers in June 2024 on procedural grounds, KBS returned them to their posts but left the newly appointed department heads in place, so three departments each had two heads for about eight months. Roughly 100 routine audits a month were reviewed twice and staff evaluations were split, causing duplication and confusion, according to Asia Economy. Department head staffing was normalised in March last year after Park Jang-beom took office. Newsis reported the audit agency cited inefficiency from running more department heads than the authorised number. [ 1 , 2 , 3 ]
A regular institutional audit of KBS released the same day identified 17 problem areas in management, covering drama production costs, personnel and welfare. It found that 54 outsourced KBS 2TV dramas aired over the past five years were all contracted without a specific basis for calculating production costs, and that six of the 10 most recent productions spent a combined 6.7 billion won less than the contracted amount. One outside production company was found to have submitted settlement documents that inflated a lead actor's fee by 450 million won, to 1 billion won, and the audit agency told KBS to pursue a complaint and damages. [ 2 , 3 ]
On finances, the documents say KBS's total revenue fell from 1.5082 trillion won in 2021 to 1.3317 trillion won in 2024, with a net loss of 73.5 billion won in 2024, the third consecutive year of losses. Per-employee welfare spending was 3.99 million won, 1.93 times the average for public institutions, and staff at the G2 rank or above made up 57.4% of the 3,738 employees, above the broadcaster's own target of 48.8%. Asia Economy reported that 397 condominium and resort memberships were retained despite an average use rate of 31.5%, and that 10.75 billion won was spent on staff communications expenses in 2020-2024. [ 2 , 3 ]
The regular audit also found weaknesses in disaster broadcasting infrastructure. Hankook Ilbo reported that 11 regional headquarters and bureaus did not have properly duplicated disaster caption transmission systems, and that reinforcement work for seismic performance was delayed at 16 major broadcasting facilities, with the audit agency warning of possible disruption to disaster broadcasts in the event of an earthquake. [ 2 ]
Why it matters
The findings touch the internal independence of South Korea's public broadcaster and its finances at a time when total revenue has been falling. The audit also points to cost controls in outsourced drama production, a sector where KBS is a major buyer.
Key facts
- The Board of Audit and Inspection announced on October 7 that it issued a “caution” to KBS president Park Jang-beom over audit independence. [ 1 , 2 , 3 ]
- KBS auditor A requested the replacement of five audit office department heads nine times between June and September last year; Park rejected all nine requests. [ 2 , 3 ]
- Under former KBS president Park Min, three departments each had two department heads for about eight months, after court-ordered reinstatements left new appointees in place. [ 1 , 2 , 3 ]
- KBS reported a net loss of 73.5 billion won in 2024, and per-employee welfare spending of 3.99 million won, 1.93 times the average of public institutions. [ 2 , 3 ]
- An audit found that 54 outsourced KBS 2TV dramas over five years were contracted without a specific basis for production costs, and one outside producer inflated a lead actor's fee by 450 million won to 1 billion won. [ 2 , 3 ]
- Staff in the top G2 rank or above accounted for 57.4% of KBS's 3,738 employees, above the broadcaster's own target of 48.8%. [ 2 , 3 ]
- The institutional audit identified 17 problem areas in KBS management, covering drama production costs, personnel and welfare. [ 3 ]
- Eleven regional KBS stations and bureaus lacked fully duplicated disaster caption transmission systems, and seismic reinforcement work was delayed at 16 major broadcasting facilities, according to the audit. [ 2 ]
Confirmed by several sources
- The Board of Audit and Inspection issued a “caution” to KBS president Park Jang-beom in connection with the audit independence case. [ 1 , 2 , 3 ]
- Park rejected nine requests to replace audit office department heads, made between June and September last year. [ 2 , 3 ]
- Three departments operated with two department heads each for about eight months during former president Park Min's tenure, causing duplicated reviews. [ 2 , 3 ]
- KBS recorded a 73.5 billion won net loss in 2024 and cut its total revenue from 1.5082 trillion won in 2021 to 1.3317 trillion won in 2024. [ 2 , 3 ]
- Per-employee welfare spending at KBS was 3.99 million won, 1.93 times the public institution average. [ 2 , 3 ]
- One outsourced drama producer submitted settlement documents inflating a lead actor's fee by 450 million won, and the audit agency told KBS to pursue legal action and damages. [ 2 , 3 ]
Still unclear
- The disposition of the public interest audit request Hankook Ilbo reports that parts of the public-interest request — alleged infringement of audit independence and obstruction through refusal to answer or submit materials — were closed for reasons including lack of recognised need for an audit, while Asia Economy presents the independence case as a finding that led to the caution; the documents do not resolve the difference.
- How much the audited problems have been corrected Only the normalisation of department head staffing in March last year is stated; the documents give no status for the drama cost, welfare or disaster infrastructure findings.
- Park Jang-beom's response to the audit findings The documents do not include any comment from Park, KBS or the former president Park Min.