New S. Korean president faces allegations

SEOUL, Dec. 19 (UPI) -- Former Seoul Mayor Lee Myung-bak, 65, who is set to become South Korea's 17th president, will take office under a cloud of fraud allegations.

Although he has denied the allegations, the South Korean National Assembly has agreed to order an independent investigation of Lee, who is alleged to have been involved with a financial company that went bankrupt, causing investors to lose millions.

Lee, head of the conservative Grand National Party, has said he didn't own the company and that he was a victim of fraud committed by a former business partner.

On Wednesday, voters appeared to vindicate him by making him a clear winner in the race for president.

The Yonhap news agency reported Lee campaigned mainly on economic issues such as skyrocketing property prices and rising unemployment under outgoing President Roh Moo-hyun.

The report said his victory will end a decadelong liberal rule of Roh and his predecessor Kim Dae-jung. That period was marked by first steps toward reconciliation with North Korea's communist government.

Lee, who collected trash to finance his college education, rose to become the youngest chief executive officer of Hyundai Construction, where he earned the nickname "The Bulldozer," CNN reported.