Ruling Party: "Public Officials' Real Estate Speculation Must Lead to Ruin"

Public Enterprise Development Department Property Disclosure Review
System Improvement to Recover Private Speculation Gains

Kim Tae-nyeon, floor leader of the Democratic Party of Korea, is attending the policy coordination meeting held at the National Assembly on the 4th and delivering opening remarks. Photo by Yoon Dong-joo doso7@

[Asia Economy Reporter Koo Chae-eun] Kim Tae-nyeon, floor leader of the Democratic Party of Korea, said, "We must clearly show that real estate speculation by public officials leads to ruin."

On the 4th, Kim Tae-nyeon stated at the Democratic Party policy coordination meeting that they will include employees in charge of development at public enterprises, such as Korea Land and Housing Corporation (LH), in the asset disclosure registration and pursue measures to recover private speculative gains related to land speculation allegations.

Kim said, "If public officials involved in land development use information related to their duties for private gain, we will consider measures to recover speculative profits along with legal punishment." He also mentioned, "We will amend the Public Officials Ethics Act to include employees in development departments of public enterprises like LH in the asset disclosure registration for continuous management."

Kim emphasized, "The speculation allegations against LH employees, who are required to maintain high ethical standards, are causing anger and a sense of loss among the public," adding, "Violations of public ethics and integrity obligations, as well as undermining trust in government policies aimed at stabilizing the real estate market, constitute antisocial speculative crimes."

Kim stated, "The Prime Minister's Office will lead a thorough investigation into land transaction statuses of employees and their families in related public institutions such as the Ministry of Land, Infrastructure and Transport and LH," and added, "If there is any concealment, it must be revealed without any suspicion and strict punishment must be enforced."

Meanwhile, earlier on the 2nd, the People's Solidarity for Participatory Democracy and the Lawyers for a Democratic Society identified circumstances where 14 LH employees in the metropolitan area and their spouses and families purchased a total of 10 plots of land measuring 23,028㎡ (7,000 pyeong) for about 10 billion KRW from April 2018 to June last year. There are suspicions that employees of public institutions under the Ministry of Land, Infrastructure and Transport obtained information about new town selections in advance and purchased the land aiming for 'capital gains.'