"Examining the Entire Process of Selecting Construction Contractors"... Starting with Banpo 3rd District and Sinbanpo 21st Complex

Seoul City and Seocho-gu Launch First "Proactive Public Support" in Maintenance Project Bidding to Create "Clean Worksites"
"No Corruption Maze"... Immediate Start of Continuous Monitoring, Joint Support Team and Expert Assistance

Archive photo / Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Yuri Kim] The Seoul Metropolitan Government is launching proactive public support to eradicate the disgraceful reputation of "construction contractor bidding wars in redevelopment projects being rife with corruption" and to preemptively correct unfair and overheated competition.

On the 21st, Seoul City and Seocho District announced that they have selected two redevelopment sites in Seocho District?Banpo Jugong Complex 1, Section 3, and Sinbanpo 21st Complex?as the first pilot project sites. The goal is for Seoul City, Seocho District, and the associations to collaborate throughout the entire process to create a fair and transparent "clean project site" model case.

Earlier on the 17th, Seoul City announced a proactive public support plan to strengthen professionalism, transparency, and fairness in the contractor bidding process. Under a city-led continuous monitoring system, support teams will be proactively deployed to sites showing signs of overheating, and experts such as lawyers and architectural engineers will be supported and dispatched at each bidding stage.

The selection of these pilot project sites was made after two associations requested public support for contractor selection from the jurisdictional Seocho District, which in turn requested Seoul City to designate them as pilot project sites.

Currently, the two projects have either started bidding announcements or completed site briefings. Seoul City and Seocho District will immediately begin continuous monitoring. If unfair or overheated competition is detected, a joint support team composed of city and district officials, lawyers, architectural engineers, and other experts will be deployed to focus on inspecting violations in the bidding proposals. The plan is to prevent fraudulent companies from being selected as contractors in advance, thereby avoiding delays and protecting association members from damages.

The city will dispatch experts with experience and professionalism in inspecting association operations to review any violations in the bidding proposals submitted by construction companies, and will support the activities of the reporting centers and enforcement teams operated by the associations and Seocho District. Seocho District plans to independently organize and deploy a "Watchdog Advisory Group" by the end of this month to manage all contractor selection processes for redevelopment projects within the district. Until the Watchdog Advisory Group is formed, the city plans to utilize its pool of experts for dispatch support.

Seoul City expects that this pilot project, promoted through cooperation among the city, district, and associations, will eradicate the customary fraudulent practices in contractor bidding wars for redevelopment projects and enhance transparency in the bidding process. After the pilot project, exemplary and pointed cases will be compiled; exemplary cases will be disseminated to other redevelopment sites, and pointed cases will be addressed to prevent recurrence.

Ryu Hoon, Head of the Seoul Housing and Architecture Headquarters, said, "We have confirmed the demand from associations and local governments for the proactive public support announced by Seoul City to correct unfair and overheated competition in redevelopment project bidding. We will make this pilot project an opportunity to eliminate the customary unfair practices of construction companies at redevelopment sites. We will spare no administrative support to ensure that the entire bidding process is conducted fairly and transparently."

Jo Eun-hee, Mayor of Seocho District, said, "This pilot project was promoted by combining Seoul City's policy direction to eradicate unfairness and corruption in redevelopment projects with Seocho District's strong will to protect association members' rights through transparent contractor selection. We expect it to become a model case for contractor selection bidding in redevelopment projects."