Undone by an influence-peddling scandal, South Korea's President Park Geun-hye was impeached by parliament today amid a wave of anger that could overturn the nation's politics and increase pressure on some of Asia's biggest companies to reform. As hundreds of police formed a wall to hold back thousands of demonstrators outside the National Assembly in Seoul, lawmakers voted 234 to 56 in favor of impeachment, easily meeting the requirement for a two-thirds majority due to dozens of members of Park's own ruling party voting against her. Outside, protesters singing the Christmas carol "Feliz Navidad," with the lyrics changed to "not Park Geun-hye," broke into cheers and songs in a carnival atmosphere as the vote was announced.
The result means Park is immediately suspended from power and the interim leadership passes to Prime Minister Hwang Kyo-ahn. South Korea's first female president - and daughter of former dictator Park Chung-hee - fell as the wave of populism that fueled Brexit, scuttled Hillary Clinton's presidential aspirations and toppled Italian leader Matteo Renzi reached Asia's fourth-largest economy. After weeks of mass protests near the presidential office, Koreans came from across the country to fill the boulevards around parliament in the freezing cold, demanding not only Park's removal, but an end to the ties between the political and business elite that were once the bedrock of South Korea's economic miracle.
"This will escalate the popular enthusiasm for reforms by another level," said Kim Yun-cheol, who teaches political science at the Humanitas College of Kyung Hee University in Seoul. "Demand for experiments will intensify along with pressure on Park to resign. Simultaneously, a presidential race will accelerate, especially in the opposition, and that has the potential to shake the political landscape again."

Chaebol Ties

For months, prosecutors and opposition lawmakers have relentlessly pursued the ties between Park and her friend Choi Soon-sil and the links between the president's office and the family-run chaebol conglomerates that dominate the economy. The stream of often lurid revelations swelled anger in the nation's 50 million population, many of whom are suffering from widening inequality, soaring household debt, youth unemployment and a slump in the nation's once-mighty steel mills and shipyards. South Korea's economy is projected to expand just 2.7 percent this year, marking the first five-year run of sub-3.5 percent growth since the 1950-53 Korean War. 
Entering parliament before the vote, opposition politician Park Jie-won said the impeachment "will open a new era for Korea, an era where chaebol-politician ties are cut" and the government can focus on issues like "unification, youth unemployment, income gaps between rich and poor." Some protesters had traveled across the country to witness the vote. Others had camped out in front of the National Assembly building. In the morning, they waved placards against a clear, cold sky, announcing: "A great day for impeachment," demanding "Dismantle the chaebols," and warning the lawmakers, "We are watching you!"

Mass Protests

The protests were the largest in the country since 1987, when South Koreans mobilized against a military junta to achieve direct presidential elections. As lawmakers arrived for the vote at around 3 p.m., police struggled to keep the protesters back, as crowds shouted "Move away police," "Park Geun-hye is a criminal," "parliament, listen to us!" "What makes me really angry is that Korea has retreated, or hasn't advanced at all, from decades ago when former presidents were found to have been bribed by top businesses," said jobless protester Woo Jung-eun, 30, who has been protesting in front of parliament since Dec. 1.
On Tuesday, parliament had summoned the heads of the nine big chaebols for questioning on their involvement in the presidential scandal. The business leaders, including Jay Y. Lee of Samsung Electronics Co., denied at the hearing that they sought political favors in exchange of the tens of millions of dollars they donated to foundations controlled by Park's friend Choi. But dislodging the powerful families who run Korea's corporations through complex networks of cross-shareholdings won't be easy, according to David Kang, a professor at the USC Korean Studies Institute."These companies and their leaders know if they keep their heads down for a little bit, it's very hard to dislodge them," Kang said on Bloomberg TV. "These are favors that are given in exchange over years between families that have existed over generations. Radically changing that system is extremely hard in Korea. It's one reason why it's still around."

Potential Candidates
Still, the strength of the impeachment vote adds to pressure on Park to step down and builds to full steam the jostling for position among potential candidates to succeed her. Opposition heavyweight Moon Jae-in from the Democratic Party of Korea is the current front-runner in polls, followed by United Nations Secretary-General Ban Ki-moon, who will return home after his UN term ends this year. But the groundswell of anger against Park and the ruling Saenuri party, and the disillusionment with the political system have also propelled outsiders into the spotlight. Rising fast in the polls behind Ban is Lee Jae-myung, a straight-talking 52-year-old city mayor who was one of the first people to call for impeachment. While Park said she regretted hearing young people label their nation "hell" for economic hardships, Lee has roused crowds at rallies, calling for a "revolutionary change." "What is the root of all this turmoil? It's the chaebol," Lee told a crowd at last week's rally, after protesters chanted his name until he came out to address them. The chaebol can use their money "to corrupt everyone." Lee is the only one so far to declare his candidacy for the election, but other political neophytes are also gaining from the populist sentiment. They include Park Won-soon, a former civic activist who was elected Seoul mayor in 2011, and Ahn Cheol-soo, a software tycoon-turned-politician whose party was just three months old when it won 38 seats in April elections. Both have criticized the chaebols' dominance in the economy.

Lame Duck
That election could come soon if Park steps down. At an "informal" meeting with Cabinet members after the vote, Park said she hoped the current "confusion" is resolved smoothly. "Once again I express my apology for this huge national confusion that arises from my mistakes and unworthiness at a time the nation faces difficulties in both economy and security," she said, her voice trembling as she neared the end of her televised speech. If she doesn't resign, it could take six months for the Constitutional Court to ratify parliament's decision, and up to two months more before a national election. If the court decided not to impeach Park - as it did with former President Roh Moo-hyun in 2004 - then her power would be restored and she could attempt to remain in office until her term expires in 2018. The crowds in Seoul today suggest that would not be a popular decision. - Bloomberg