The scale of forced liquidation in the first half of this year reached 3.1525 trillion won. [AI-generated image]

U.S. political columnist Gene Cummings has criticized Lee Jae-myung, stating, "He has decided to impoverish the public to drag South Korea into a government-dependent society, much like a communist nation." 

On the 19th, via Facebook, Gene Cummings stated, "As the Lee Jae-myung administration recently touts rising stock prices as a policy achievement, young people who have jumped into leveraged investments—so-called 'debt-investing'—and high-risk financial products are losing vast sums of money amid the stock market's extreme volatility, falling into crushing debt and facing the brink of bankruptcy."

He further remarked, "Yet, many people have blindly trusted this politician as if they were worshiping a cult leader, and ultimately, they are paying the price with their own assets and lives," urging citizens to wake up and see reality clearly while there is still time.

It is Cummings' view that the Lee Jae-myung administration bears clear responsibility for the collapse of the younger generation amidst the stock market plunge and real estate market instability due to its irresponsible market intervention and expansionary fiscal policies. He argues that this is because the government has meddled everywhere while ignoring the autonomous flow of the market and recklessly spent state budgets as if it were their own money. 

According to Cummings, "Lee Jae-myung is not building a society where citizens form their own wealth and live independently of the government; rather, he is creating a nation where survival depends on government handouts," adding, "The first step in transforming a country into a communist system is to dismantle the public's assets and strip them of their ability to live independently, making them dependent on money distributed by the government."

He further sharpened his attack, saying, "The public must realize that being made to wait for government-distributed money and benefits, rather than living on their own labor and assets, is precisely the path toward the rationing system of a communist state, and they need to wake up now."

According to him, "While they may call it an economic stimulus or a support measure for the working class, in reality, it is a dictatorial atrocity where the government recklessly splashes money around and intervenes in the market like a thug, completely trampling the normal price system. They keep real estate assets tied up with strict regulations while trying to manage individual assets, all the while inciting the public as if the stock market is an escape route to becoming wealthy. Even high-ranking officials in financial authorities have downplayed the risks, calling 'debt-investing' mere leverage, essentially pushing the public toward their doom."

Ultimately, his opinion is that the end for the followers who have been blinded and co-opted by Lee Jae-myung is already determined: "nothing but miserable and horrific bankruptcy."

He also pointed out that as the situation has reached this point, the Lee Jae-myung government is claiming it will step in to forgive the debts incurred by the public, noting, "The money used to forgive astronomical debts is money forcibly taken from the wallets of honest citizens who worked hard and paid their taxes."

Gene Cummings asks:

"If someone in your circle does no work, receives government handouts, blows it all at a gambling den, and ends up in massive debt, would you tolerate the government using the tax money your family worked so hard to pay to cover that person's debts?"

He raised his voice, stating, "No normal person would agree to the government forcing them to share the money they earned through their own effort and hard work equally with those who are lazy and do not work."

He further harshly criticized, "The cult-like dictator Lee Jae-myung acts as if the public's tax money is his own, putting on a show as if he is a capable leader solving the public's debt problem by claiming 'we will pay it off' for them."

He added, "Lee Jae-myung promoted the stock market as a new channel for the public to become wealthy from the very beginning of the election, and high-ranking financial officials spoke lightly of debt-investing, labeling it leverage. Yet, while they bragged about rising stock prices as a government achievement, they now take no responsibility for the losses suffered by the people who trusted those words and borrowed money to invest, instead stepping forward and saying, 'We will forgive your debt.'" 

Gene Cummings argued, "While the rhetoric is packaged as forgiving the debts of good and unfortunate people, the idea of the government forgiving the debts of those who owe money is something only a psychopath would propose. The goal of this bizarre logic—pushing people into debt, driving them to the edge of bankruptcy, and then secretly forgiving the debt with state money—is singular: that is the only way to keep citizens, having lost their independence, on a leash and dependent on the absolute ruler for their very survival."

He then asked, "Why do the people still not realize that the method of encouraging debt, neglecting bankruptcy, and then using welfare and relief as bait to domesticate the public like slaves is the terrifying tactic of a 'fake savior' that Lee Jae-myung is following step-by-step to devour South Korea and become a communist dictator?"

He further pointed out, "Blinded by fear and madness that they would become destitute overnight if they didn't jump in immediately, the public jumped in like moths to a flame, even pulling in borrowed money," noting that the results are reflected in actual figures as follows:

"The scale of forced liquidation (a system where, if an investor fails to repay the money owed to a brokerage by the set deadline, the brokerage forcibly sells the stocks without the investor's consent: Editor's Note) in the first half of this year reached 3.1525 trillion won, with 142.2 billion won in forced liquidations occurring on July 9th alone. The total amount of 'debt-investing,' combining credit loans and stock-collateralized loans, reached a daily average of 61.9 trillion won in the second quarter, marking an all-time high."

In other words, Cummings expressed concern that these figures mean the assets of citizens who borrowed money to invest, deceived by the government's rosy propaganda and market frenzy, are being forcibly sold off, and that once forced liquidation begins, the surge of sell orders drives stock prices down further, triggering additional liquidations.

He also pointed out, "Young people and the working class, who jumped in late with loans upon loans without any capital, are unable to handle the principal and interest the moment the bubble bursts, forcing them to sell their homes and stocks at the lowest possible prices. Even when experiencing the same crash, the wealthy survive and buy back the devalued assets, but the working class loses their property, is left only with debt, and is driven onto the streets."

He reminded the public, "We must remember why communist economies historically collapsed in such a miserable way. When price, production, and investment direction are controlled by a government run by swindlers rather than an autonomous market, capital only flows to crony industries and companies that support the political power or suit the regime's preferences."

In other words, companies with ties to those in power are never exited even if their businesses fail miserably; instead, they are kept alive through government patronage and taxpayer money, endlessly enjoying special treatment. 

Finally, Gene Cummings urged, "You must realize that being caught up in the Lee Jae-myung regime's irresponsible fraud and incitement, following them while having lost all reason, does not end with just individual bankruptcy and collapse, but is leading the entire Republic of Korea toward ruin."