🚨 National Audit Request System

Today Korean Social News | 2025.05.07

📌 MBC and Broadcasting Culture Promotion Association Lose Second Appeal Against National Audit

💬 MBC and the Broadcasting Culture Promotion Association (BCPA) have lost their second appeal against the Board of Audit and Inspection (BAI)'s decision to conduct a national audit. The Seoul High Court ruled that the BAI's decision was lawful. This national audit was initiated by a request from conservative civic groups, and the BAI criticized the BCPA for inadequate management and supervision of MBC's financial losses.

Summary

• The National Audit Request System allows citizens to request audits of public institutions when a certain number of people sign a petition.
• It strengthens administrative transparency, accountability, and expands oversight through citizen participation.
• The independence and fairness of the audit are key elements for the system's credibility.

1️⃣ Definition

National Audit Request is a system that allows citizens to request the Board of Audit and Inspection to audit public institutions when a petition is signed by a certain number of people. In simple terms, it's a participation system where citizens can collectively request an audit of government or public institutions when they have questions about their activities.

This is an important mechanism based on the principle of popular sovereignty, strengthening citizen oversight of administration.

💡 Why is it important?

• It increases administrative transparency and accountability.
• It expands oversight through direct citizen participation.
• It encourages self-control by administrative bodies.
• It helps prevent corruption and improve public services.

2️⃣ Characteristics and Procedures

📕 Characteristics and Legal Basis

• The National Audit Request is based on constitutional values. The legal basis includes:

  • According to Article 40-4 of the Board of Audit and Inspection Act, citizens aged 19 or older (at least 300 signatures) can request an audit.
  • The BAI must decide whether to conduct the audit within 30 days of receiving the request and notify the requesters.
  • A representative can be selected among the requesters to present opinions and receive notifications of results.

• The scope of National Audit Requests is broadly defined. The range of possible targets includes:

  • All institutions subject to BAI audits, including central government agencies, local governments, public institutions, and public corporations.
  • Matters related to tax revenue and expenditure, public institutions' operations and accounting, and public officials' duties.
  • However, matters related to national secrets, cases under investigation or trial, and matters that may infringe on personal privacy are excluded.

📕 Procedures and Methods

• National Audit Requests follow specific procedures. The main request procedures are:

  • Selection of a representative: A representative is selected among the requesters.
  • Preparation of request form: The purpose, reasons, names, and addresses of requesters are recorded.
  • Preparation of signature list: Signatures from at least 300 citizens aged 19 or older are collected.
  • Submission of request: The request form and signature list are submitted to the BAI.
  • Review of formal requirements: The BAI reviews whether the request meets the requirements.
  • Decision on audit: The BAI decides whether to conduct the audit within 30 days.

• The audit process is systematic. The main audit procedures are:

  • Establishing an audit plan: The scope, methods, and period of the audit are determined.
  • Conducting the audit: Field investigations, document reviews, and interviews are conducted.
  • Reporting audit results: A report is prepared summarizing the audit results.
  • Requesting measures: Correction, caution, discipline, etc. are requested for illegal or improper matters.
  • Notification of results: The audit results are notified to the representative of the requesters.
  • Follow-up management: Implementation of requested measures is confirmed.

Key Issues with the National Audit Request System

1. Independence and fairness: The political neutrality of the BAI and the fairness of audits are important.
2. Effectiveness issue: Audit results sometimes do not lead to substantial improvements.
3. Potential for abuse: Concerns about use for political purposes or to interfere with operations.
4. Scope limitations: Some institutions are excluded from audit targets, creating blind spots.
5. Accessibility limitations: The requirement for 300 signatures can be burdensome for ordinary citizens.

3️⃣ Current Status and Cases

✅ Current Status

• There are statistics on National Audit Requests and acceptance rates. Key status includes:
  • In the past five years, an average of about 50 National Audit Requests were made annually, of which about 30% were accepted and led to actual audits.
  • By field, requests related to local governments account for about 40%, public institutions 30%, central government agencies 20%, and others 10%.
  • Request content mainly involves budget waste, corruption allegations, personnel irregularities, and illegal/improper actions in project implementation.
  • About 50% of audit results led to measures such as correction/improvement requests, disciplinary actions, and criminal complaints.
  • There are many cases where audit results led to policy changes or system improvements.

✅ Major Cases

• National Audit Requests are being used in various fields. Representative cases include:

  • Four Major Rivers Project Audit: Problems in the project implementation process were revealed through a National Audit Request by civic groups, leading to follow-up measures and system improvements.
  • Nuclear Power Plant Safety Audit: An audit of nuclear power plant safety management was conducted following citizens' requests, leading to strengthened safety standards.
  • Local Government Budget Waste Audit: Audits of unnecessary events or facility construction by local governments were conducted following requests from local residents, resulting in budget savings.
  • Public Institution Recruitment Irregularities Audit: Cases of unfair practices in the recruitment process of public institutions were detected through requests from job seekers, leading to improvements in the recruitment system.

• The recent MBC-BCPA National Audit case has attracted attention. The main content is:

  • Conservative civic groups requested a National Audit, raising issues with MBC's financial losses and BCPA's management and supervision problems.
  • The BAI accepted the request, conducted an audit, and pointed out inadequate management and supervision by the BCPA.
  • MBC and BCPA filed an administrative lawsuit claiming that the BAI's audit decision was illegal, but lost in both the first and second trials.
  • The court ruled that "the BAI's National Audit decision is lawful within the scope of its discretion."
  • This case is evaluated as an important precedent regarding the scope and limitations of the National Audit Request system.

4️⃣ Related Terms

🔎 Board of Audit and Inspection (BAI)

• The BAI is a constitutional institution that audits the state's revenue and expenditure.
• The BAI is an independent institution established under Article 97 of the Constitution, responsible for the settlement of the state's revenue and expenditure, inspection of the accounts of the state and entities determined by law, and the supervision of public officials' performance of duties.
• The BAI is affiliated with the President but its independence in performing duties is guaranteed. Major matters are decided by the Audit and Inspection Commission. The Chairman and Commissioners of the BAI have guaranteed terms to perform their duties independently from external pressure.
• The main functions of the BAI include: first, settlement inspection to verify the legal and efficient execution of the government budget; second, account inspection to examine the accounts of state agencies and public organizations; and third, work supervision to investigate the legality and validity of public officials' performance of duties.
• The BAI operates the National Audit Request system in accordance with the Board of Audit and Inspection Act, supporting the administrative oversight function through direct citizen participation.

🔎 Public Interest Audit

• Public Interest Audit is an audit system requested by civic groups for public interest purposes.
• Public Interest Audit refers to a system where non-profit private organizations request audits from the BAI for public interest purposes in accordance with the "Regulations on the Processing of Public Interest Audit Requests." It is similar to the National Audit Request but differs in the requesting entity and requirements.
• Public Interest Audits can be requested by non-profit private organizations registered under the "Non-Profit Private Organization Support Act," with the aim of correcting acts that infringe on the public interest and improving systems.
• The procedure for requesting a Public Interest Audit is similar to that of a National Audit Request. The BAI decides whether to conduct an audit within 30 days of receiving the request. If the request is accepted, an audit is conducted and the results are notified to the requesting organization.
• Public Interest Audits contribute to identifying and improving administrative problems by utilizing the expertise of civil society, forming an important axis of citizen participatory audit systems along with National Audit Requests.

🔎 Co-signature

• Co-signature means multiple people signing together.
• Co-signature (連署) refers to multiple people signing in succession, particularly in National Audit Requests, it refers to the process of citizens signing together.
• In National Audit Requests, co-signature serves as evidence of the importance and public interest of the request, and requires signatures from at least 300 people. The co-signature list must include the name, date of birth, address, and signature or seal of the requester.
• Beyond simple signature collection, co-signature is a symbol of collective expression of will and participation by citizens, becoming a means of realizing direct democracy. Recently, electronic signature methods through online petition systems are also being utilized.
• However, issues such as personal information protection can arise during the co-signature process, and procedural issues such as verification of signature authenticity must also be considered.

5️⃣ Frequently Asked Questions (FAQ)

Q: What is the difference between a National Audit Request and a general civil complaint?

A: National Audit Requests and general civil complaints differ in purpose, procedure, and effect. A civil complaint is to resolve individual benefits or rights-related demands or complaints, can be filed by one person, and is directly applied to the relevant administrative agency. In contrast, a National Audit Request requires co-signatures from at least 300 people and is requested to the BAI for public interest purposes.

While civil complaints are generally handled within the agency, National Audit Requests can lead to official audits by an independent external agency, the BAI, allowing for stronger investigation and sanctions. Civil complaints aim to resolve individual cases, while National Audit Requests focus on identifying and improving systemic problems. The two systems complement each other, and structural problems that cannot be resolved through civil complaints can be approached through National Audit Requests.

Q: How do I file a National Audit Request?

A: A National Audit Request can be filed through the following steps. First, clearly define the audit target and content. Check if the institution is subject to BAI audits and if the content qualifies for a National Audit Request. Second, select a representative among the requesters who will be responsible for communication with the BAI and presenting opinions.

Third, prepare the request form, including the purpose and reasons for the request, the target institution, and information about the representative. Fourth, prepare a co-signature list with signatures from at least 300 citizens aged 19 or older, including names, dates of birth, addresses, and signatures. Fifth, submit the request form and co-signature list to the BAI. Sixth, wait for the BAI's decision. The BAI will decide whether to conduct the audit within 30 days and notify the representative. If the request is accepted, an audit will be conducted, and the results will also be notified.