Strengthening Incentives for Reporting Fraudulent Benefits... 30% of Recovered Amount Paid to Whistleblowers

[Asia Economy Reporter Kwangho Lee] To encourage reporting, the limit on reward money, which was capped at 200 million KRW, has been abolished, and 30% of the recovered amount will be paid.

The government announced on the 21st that it approved the "Partial Amendment to the Enforcement Decree of the Subsidy Management Act" with this content at the 3rd Cabinet Meeting held on the same day.

This amendment is one of the measures to implement the "Strengthening Measures for Managing Subsidy Fraud" announced in October last year.

The cap on reward money for reporting, which was limited to 200 million KRW, has been removed, and the reward payment scale, previously decided autonomously by each ministry, has been standardized to 30% of the amount ordered to be returned.

To activate reporting of minor cases, the head of the central agency is allowed to set a minimum payment amount within the range of 5 million KRW.

A government official said, "We expect that this amendment to the enforcement decree will encourage voluntary reporting by the public and strengthen the detection of subsidy fraud," adding, "We plan to continue efforts to eradicate fraud through active implementation of follow-up measures for strengthening subsidy fraud management."