The Korea Times broke promise to return Korean Festival Parade profits to community

The Korea Times, which organizes the Korean Parade during the Los Angeles Korean Festival, has reportedly failed to disclose related financial reports for the past 40 years. The LA Korean Festival Foundation and the Korea Times promised to spend any surplus from the Korean Parade on public service projects, but this also has not happened.

The Korea Daily obtained the “Korea Day Event Agreement” signed by the LA Korean Festival Foundation and the Korea Times through an anonymous tip. Based on the agreement shown, the Korea Times has been organizing the LA Korean Festival’s Korean Parade for the past 50 years.

According to the agreement, on July 19, 1982, the two presidencies of the Koreatown Prosperity Association, the predecessor of the festival’s foundation, and the Korea Times signed the agreement.

According to the agreement, the association granted privileges to the Korea Times, in which the agreement states, “We recognize the Korea Times’ sole right to organize the event. The association’s board of directors will no longer be consulted about the organizing committee.”

The agreement included at least some safeguards. According to the agreement, “The programs including the selection of the number of passengers in the grand marshal’s open car during the parade will be jointly drafted by both parties.”

However, most importantly, the agreement stipulates revenue. “The Korea Times shall prepare and disclose the financial statement within the shortest possible time after the parade. If there is a surplus, the entire amount will be used for public interest projects. The two parties will jointly decide the projects to fund.”

According to this contract, the Korea Times has been the organizer of the Korean Parade and has exercised full control over the event but has not been complying with its obligation to disclose its financial statements and dedicate all profits to public welfare.

“I’ve never received a financial report for the Korean Parade,” said one board member who has served on the festival foundation for 20 years, adding, “I once asked for a financial report at the board level, but they (the Korea Times) wouldn’t give it. We even got into an argument over it.”

Another board director said that the Korean Parade has virtually become a monopoly of the Korea Times. “They say that the Korea Times has been organizing the parade for 50 years, and the foundation recognizes them as the organizer,” the director said, adding, ”We don’t even talk to each other about sharing the parade’s financial reports.”

Some festival board members said the Korea Times should fulfill the agreement signed by both parties immediately. One of the directors, who wished to remain anonymous, emphasized the need to follow through on the agreement, saying, “If there is a surplus in the parade, it is supposed to be shared with the Korean-American community.”

BY HYOUNGJAE KIM, HOONSIK WOO [woo.hoonsik@koreadaily.com]