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South Korea rows back on Kaesong wages claim South Korea rows back on Kaesong wages claim
(about 3 hours later)
South Korea has said there is no "clear evidence" the North is using wages paid to workers at the Kaesong industrial complex to fund weapons development. South Korea has rowed back on claims the North is using the wages of workers at the Kaesong joint industrial park to fund nuclear weapons development.
Unification Minister Hong Yong-pyo had said on Sunday the North was taking 70% of wages from the jointly run park and spending it on weapons and luxuries. Unification Minister Hong Yong-pyo made the statement on Sunday but now says it was not backed by "clear evidence".
But he has now rowed back on that, saying there are only "concerns" about what is happening to the money. South Korea suspended its operations at the joint project last week.
South Korea suspended its operations at the manufacturing park last week. Separately, President Park Geun-hye has warned the North will face total collapse if it does not abandon its nuclear programme.
It came after the North conducted its fourth nuclear test and launched a satellite into space, both of which broke UN sanctions. Last week, Ms Park ordered the South to withdraw from Kaesong, one of the last points of inter-Korean co-operation, after the North launched a satellite at the weekend.
Kaesong employs thousands of workers from the North in Southern-run enterprises, and was one of their last points of co-operation. The North has called the shutdown "a declaration of war". That came a month after it conducted its fourth nuclear test, both acts which break UN sanctions.
'Mobilise all possible methods'
The North has called the shutdown of Kaesong "a declaration of war".
Ms Park told parliament on Tuesday: "If time passes without any change, the Kim Jong-un leadership, which is speeding without a brake, could deploy a nuclear-tipped missile and we will suffer."
She said South Korea "will take stronger and more effective measures to make North Korea bitterly realise that it cannot survive with nuclear development and that it will only speed up regime collapse".
The UN is currently debating imposing more sanctions on North Korea over its nuclear and satellite launch.
But Ms Park hinted at unilateral action, saying the South must "throw away the impotent feeling" of relying on international sanctions and instead "mobilise all possible methods to solve the problem ourselves".
What is Kaesong?What is Kaesong?
What is the Kaesong Industrial ComplexWhat is the Kaesong Industrial Complex
Why did North launch long-range rocket?Why did North launch long-range rocket?
How advanced is North's nuclear programme?How advanced is North's nuclear programme?
'Inadequate explanation''Inadequate explanation'
It was widely known that North Korean Kaesong employees' wages were paid to the government, which then distributed them in the form of vouchers and local currency. But the South had not put a figure before on how much was being retained by the Party. Kaesong employs thousands of workers from the North in Southern-run enterprises. The South's Unification Ministry estimates about 616bn Korean won (£350m; $508m) has been paid to the North over the years.
But on Sunday Mr Hong, cited "multiple reports" indicating it was 70%, and that "the money is used to develop nuclear weapons or missiles, or to purchase luxury goods". The North Koreans' wages are paid to the government, which then distributes them in the form of vouchers and local currency. But the South had not put a figure before on how much was being retained by the government.
This led to accusations that if the South knew where the money was going before, it may have broken UN resolutions itself. On Sunday, Mr Hong said "multiple reports" indicated it was 70%, and that "the money is used to develop nuclear weapons or missiles, or to purchase luxury goods".
But speaking to parliament later on Monday, Mr Hong said: "If there is clear proof for the North's misappropriation, it would constitute a breach of relevant UN resolutions. But there are only concerns about the North's misuse of the money, and I've not said that there is clear evidence." This led to accusations that if the South had known where the money was going, it may itself have broken UN resolutions against funding North Korea weapons or nuclear research.
Speaking to parliament later on Monday, Mr Hong said: "If there is clear proof for the North's misappropriation, it would constitute a breach of relevant UN resolutions. But there are only concerns about the North's misuse of the money, and I've not said that there is clear evidence."
He apologised for an "inadequate explanation" based on speculation, saying he had intended to "underscore the significant nature" of the North's weapons programme.He apologised for an "inadequate explanation" based on speculation, saying he had intended to "underscore the significant nature" of the North's weapons programme.
The ministry estimated about 616bn Korean won (£350m, $508m) had been paid to the North over the years.