Updated July.14,2006 23:10 KST

N.Korea 'Spending Hand Over Fist While People Starve'

A Slap in the Face for Bumbling South Korea

A Grand National Party lawmaker and member of the National Assembly's Intelligence Committee on Friday said North Korea¡¯s budget structure means it can pour money into its missile program while its people are starving. The comments from Chung Hyung-keun came at a meeting of leading party members a day after the North slammed the South¡¯s refusal to continue food aid until it returns to disarmament talks.

"We understand that North Korea intends to build up to 17 more Taepodong-2 missiles,¡± Jung said. "Some people say each Taepodong-2 costs W60 billion (US$1=W954), but the National Intelligence Service holds that per-unit cost is W25 billion. Additionally, they have about 450 US$400,000 Rodong missiles, and 400 $200,000 Scud missiles." Chung said this was reliable information from government agencies.

"There are insufficient funds in the budget for the people, but the military budget is allotted separately and is abundant,¡± Jung said. There are three budgets in the North, military, general and leader Kim Jong-il¡¯s personal budget.

Chung said the reason is that the military controls all the profitable industries. "The money-making projects are all covered in the military budget, but since the regular budget is insufficient, North Korea asks South Korea for rice and fertilizer," he said. "Our government needs to tell North Korea to stop using a dual budget structure that starves the people to death."

Chung said the North recently had a surplus in the military budget, ¡°so they gave out cars to everyone above the rank of colonel" he said. He added Rodong and Scud missiles are for export to countries like Syria and Libya, and North Korea now ranks sixth in the world in missile technology.

(englishnews@chosun.com )