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Misuse of 15 Billion Won Without Approval? Questions Raised Over NEC Budget Management

Published : Jun 29, 2026 9:52 AM

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The National Election Commission (NEC) is facing intense scrutiny as it dominates headlines, not only due to public outrage over the ballot paper shortage during the June 3 local elections—which many view as an infringement on voting rights—but also because of rigorous investigations into its long-standing, lax administrative practices. Analysts suggest that the current crisis may stem from a lack of oversight, control, and checks, which have been absent due to the NEC's entrenched status as an independent constitutional body.

[Yoon Sang-hyun / Chair of the Special Committee on the Ballot Paper Shortage Investigation: The independence of the National Election Commission, guaranteed by the Constitution, is meant to ensure accountability to the people, not to grant immunity after infringing upon their voting rights.]

The SBS reporting team has uncovered issues regarding the NEC's budget management. The NEC typically prepares its budget for the following year around August and receives funding after parliamentary review. While taxpayer money must be used for its intended purpose, it has been revealed that the NEC has been transferring and reallocating funds for various reasons.

1. Over 30.5 Billion Won Reallocated?
SBS obtained data on the NEC's budget transfers and reallocations over the past three years through the office of Representative Kim Gi-hyeon of the People Power Party. A year-by-year breakdown shows 3.67 billion won across 4 cases in 2023, 24.1 billion won across 154 cases in 2024, and 2.63 billion won across 97 cases in 2025. In total, this amounts to approximately 30.5 billion won across 255 cases. The scale and frequency of these reallocations were significantly higher in 2024, the year that saw the National Assembly elections, the largest nationwide vote. While reallocating funds for urgent needs outside of their original purpose may be understandable, our reporting team raised concerns because the frequency and scale suggest this is far from an exceptional situation. Further investigation revealed that the majority of these reallocations were due to personnel expenses.

2. 83% of Reallocated Funds Used for Personnel Expenses?
Over the past three years, 212 cases of budget reallocation—83% of the total, amounting to 7.3 billion won—were used to cover personnel costs. Specifically, funds originally earmarked for essential election preparations, such as election management, goods management, commissioned election management, election broadcast debates, support for political party offices, election information and record management, international exchange programs, and the ODA project for spreading Korea's election system abroad, were diverted to pay staff. These were funds requested under the premise of being essential projects. In December 2024, 2.3 billion won originally allocated for National Assembly election management was even used to cover internal personnel costs. Personnel-related reallocations peaked in 2024, reaching 5.9 billion won. When asked why so much of the budget, particularly funds for other projects, was diverted to personnel costs, the NEC replied, "It is because of the high number of employees returning from leave at the end of the year."

3. Due to Employees Returning from Leave?
The high number of NEC employees taking leave ahead of elections has been a recurring issue raised in the National Assembly every year. According to 2024 data obtained by SBS, the number of employees on leave rose to 176 around April, when the general election took place. The figure dropped to 119 by the end of August and 114 by the end of September, before rising slightly to 127 by the end of December. This pattern of employees taking leave as elections approach and returning shortly after has led to criticism of moral hazard, as it disrupts election management. As the number of returning staff increased by 40 to 50, the scale of year-end personnel costs, including annual leave compensation and performance bonuses, grew, leading to the reallocation of funds to cover these expenses.

[Kim Gi-hyeon / People Power Party Representative: Since the budget is funded by taxpayers' money, it should be used in accordance with the purposes reviewed by the National Assembly. However, the unchecked NEC has been managing it as if it were their own pocket money.]

The NEC provided its explanation regarding these issues. They acknowledged a shortfall in civil servant compensation in 2024 and 2025. However, they explained that 2024 had unique circumstances, specifically the introduction of manual counting during the general election. This required hiring additional counting staff and renting extra equipment, which forced them to exhaust the originally allocated personnel budget first. They stated that as the number of returning employees increased later, they had to reallocate funds from other categories to cover personnel costs. They added that they also considered the possibility that requests for higher personnel budgets might be rejected during the parliamentary review process.

4. Unapproved Budget Usage?
Suspicions have also been raised that the NEC violated relevant laws while reallocating these funds. Under the National Finance Act, budget reallocations require approval from the Ministry of Economy and Finance. The NEC received approval for 219 cases amounting to 15.3 billion won, which is about half of the total 30.5 billion won. This implies that the remainder was reallocated internally without external approval. When asked about this, the NEC cited Article 46, Paragraph 2 of the relevant law, claiming that their internal reallocations fall under the exceptional scope delegated by the Ministry of Economy and Finance. The NEC even maintains a six-page internal regulation titled Scope of Delegated Authority for Internal Reallocation. According to these regulations, while internal reallocation of personnel costs is possible, items such as regular wages, annual leave compensation, and other staff salaries require consultation with the Ministry of Economy and Finance. They argue that they have not violated these regulations. However, given that the amount of internal reallocation reached approximately 15 billion won, it appears difficult for the NEC to avoid criticism that it should have minimized the application of these exceptions, even if it did not technically violate the law. With some criticizing the NEC for "carelessly using taxpayer money" and employing "tricks," there is a clear need for the commission to re-examine its administrative practices.

5. Heated Discussions on Constitutional Amendment
The National Assembly's Special Committee on the Investigation held its first meeting on the 23rd to address these issues. Both ruling and opposition parties voiced strong criticism regarding the NEC's poor reporting, management systems, lax management, and internal indiscipline that led to the ballot paper shortage. There is a growing consensus on the need for "structural reform at the level of dismantling." The special committee decided to form an "expert preliminary investigation team" to prepare comprehensive reform plans. Furthermore, while the NEC suggested that a "one-point constitutional amendment" could be considered if necessary, Yoon Sang-hyun, the People Power Party chair of the special committee, expressed a difference in opinion regarding constitutional changes, stating, "Instead, let us create a neutral standing audit committee within the NEC and establish a system to report to the National Assembly." The second meeting of the special committee and the institutional report are scheduled for the 1st of next month.

Reported by Son Hyung-ahn | Edited by Shin Hee-sook | Video by Choi Ho-jun | Video Editing by Hong Jin-young | Graphics by Lee Soo-min | Produced by SBS Digital News