S. Korea's prime minister offers to resign amid scandal

South Korea's new Prime Minister nominee Lee Wan Koo listens to a question during a confirmation hearing in order to examine his qualification at the National Assembly in Seoul, South Korea, Tuesday, Feb 10, 2015. [Photo/IC]

SEOUL - South Korea's prime minister, who has denied an allegation that he took illegal campaign funds from a businessman who committed suicide, has offered to resign over the scandal, the presidential office said on Tuesday.

The scandal threatens to weaken President Park Geun-hye and her Saenuri Party, which faces a parliamentary general election early next year for control of the 300-seat assembly.

Prime Minister Lee Wan-koo has denied he received campaign funds from businessman Sung Wan-jong, but pressure mounted against him to step down after news reports showed he had known Sung well. That was despite his claim that he barely knew the construction company boss who was close to politicians.

Lee has not commented since his resignation offer became public.

Sung, who was under investigation for fraud and bribery, was found earlier this month hanging by his necktie from a tree.

Park's spokesman said in a statement issued in Peru she had received Lee's offer to resign. The president, who is on a four-country trip to South and Central America, was widely expected to accept Lee's resignation and replace him.