Mongolian buyer of Chongryon’s HQ says they have no ties to any government

The Tokyo District Court earlier this week postponed their decision on whether or not to approve the sale of the former headquarters of the pro-Pyongyang General Association of Korean Residents in Japan or Chongryon to the “mysterious” Mongolian company that won the auction bid for the building. However, the head of the company insists that they bought the building for purely business reasons and that they have no ties to any government in Mongolia, North Korea or even South Korea.

There is a lot of suspicion about the little-known Avar LLC that made the ¥5.01 billion winning bid on the Chongryon headquarters in Tokyo, which also served as the de facto North Korean mission in Japan, since the two neighbours do not have diplomatic relations. But the company’s head Chuvaamed Erdenebat says they have no other intention in Japan except to conduct business, despite reports saying that the Ulan Bator address they provided was non-existent and rumors of espionage circulating. He also said he will reveal the name of the foreign investment fund that will finance the sale only when the Tokyo Court has made a decision.

The Japanese court decided to auction off the building in July 2012 because of unpaid debts of Chongryon to Resolution and Collection Corp. The winner of the initial bidding was a Buddhist temple that was known to have close ties to North Korean officials and to organized crime. They eventually pulled out from the purchase since they were unable to come up with enough funds to pay their bid.

[ via Kyodo News ]