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Former National Election Commission Chairman Noh Tae-ak inspecting preparations for vote counting [Yonhap News photo]Amid scrutiny over the size of negotiated contracts by the National Election Commission (NEC), suspicions are intensifying as a concentration of contracts is revealed, with the top five companies accounting for half of the total negotiated contract amounts.
According to data secured by Rep. Joo Jin-woo of the People Power Party, a member of the Special Committee for the Investigation into the Truth of Infringements on National Suffrage Rights and Reform of Election Management, such as the ballot shortage during the June 3 local elections, the contract amounts for the top five companies in negotiated contracts over the past five years (2022-May 26, 2026) totaled approximately 118.5 billion won.
The NEC's negotiated contract volume for five years amounts to about 241.7 billion won. The top five companies accounted for 49% of the total amount, meaning half of the contracts went to these top five entities.
The contract amount with the top company, one of the major domestic telecommunication companies, was approximately 34.5 billion won, the second-ranked company, a computer peripheral manufacturer, was 33.6 billion won, and the third-ranked company, an IT service provider, was 20.4 billion won. The fourth company reached 15.8 billion won, and the fifth reached 14.1 billion won.
Rep. Joo pointed out that companies with an unusually high number of contracts were also notable, raising suspicions of "split contracts."
The company with the highest number of contracts had 24 cases, and there were eight other companies that entered into multiple contracts, around 20 cases each. A total of 30 companies exceeded 10 contracts.
In the case of the company with 24 contracts, the total contract amount was 380 million won, meaning each contract was worth about 16 million won.
Furthermore, while most of the top companies in terms of contract value are IT-related firms in areas such as computer equipment, networks, security, and election systems, and considering that the NEC is an institution with high IT dependency, Rep. Joo pointed out suspicions that certain companies have enjoyed a monopolistic position for several years.
The National Election Commission in Gwacheon, Gyeonggi Province, on the 22nd. The Special Committee for the Investigation into the Truth of Infringements on National Suffrage Rights and Reform of Election Management, related to the ballot shortage incident in the June 3 local elections, will begin its full-fledged activities with an institutional report from the NEC on the 23rd. [Yonhap News]Rep. Joo pointed to the fact that the NEC and the Seoul Metropolitan Election Commission signed negotiated contracts totaling 550 million won over 18 instances with a printing company in Naju, Jeonnam, which is a long distance away, last year and this year, and announced that he would request an investigation from the Anti-Corruption and Civil Rights Commission regarding potential conflicts of interest.
Rep. Joo argued that negotiated contracts are primarily used when time is pressing and security is required, and typically, the contract amount should not exceed 20 million won. He questioned why the NEC in Seoul and Gwacheon, despite numerous printing companies in the 수도권 (Seoul Metropolitan Area), contracted with a company over 300 km away, incurring additional printing delivery costs.
Rep. Joo stated, "It has been confirmed that NEC's negotiated contracts are concentrated among a few companies, and certain companies have repeatedly entered into contracts," adding, "We will thoroughly investigate suspicions of collusion between the NEC and its negotiated contract companies, including monopolization by specific companies and split contracts."
Previously, on the 19th, Rep. Joo criticized that out of the NEC's 2,665 negotiated contracts over five years, 82.1% were negotiated contracts, and particularly last year, it reached 87.7%.
The Act on Contracts to Which the State is a Party stipulates that general competition is the principle for state agency contracts, with negotiated contracts allowed exceptionally. The NEC, which has not undergone external audits, is being pointed out for a significantly high proportion of negotiated contracts.
As circumstances suggesting non-standard contracts with specific companies have been confirmed in the negotiated contract details today, it is anticipated that the National Assembly's special committee will investigate the appropriateness of the reasons for negotiated contracts, suspicions of collusion with specific companies, and potential conflicts of interest.
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