LH Ignores Employee Speculation Reports... "Effectively Aware but Neglecting"

Last July, a report on 'Improper Use of Development Land Information'
"Nominee Transactions Using Wife and Acquaintance's Wife" with Specific Addresses Provided
However, LH Responds Lukewarmly, Saying "Retired Employees Are Not Subject to Audit"

[Asia Economy Reporter Onyu Lim] Amid public outrage over speculation allegations involving employees of Korea Land and Housing Corporation (LH), it has been revealed that LH ignored whistleblowing reports about speculative acts by all employees last July.

According to the ‘LH Red Whistle (Corruption Report) Receipt Status for the Last 5 Years’ submitted by LH to Kim Sang-hoon, a member of the People Power Party, on July 22 last year, a whistleblowing report titled ‘Inappropriate acts using information on development land’ was received regarding employee speculation allegations.

The whistleblower claimed, "Mr. A (retired) purchased land under the name of his wife or an acquaintance’s wife by obtaining information on land being developed while working at the corporation," adding, "He engaged in such actions with acquaintances during his tenure and continues to do so even now."

In particular, the whistleblower stated that such speculative acts are "being carried out comprehensively in Seoul, Incheon, and Chungnam," specifying the names and addresses used in proxy transactions in detail.

This report was the only one related to speculation among 641 corruption reports received from 2016 until July last year. However, despite this unusual report, LH dismissed it, stating that Mr. A was not subject to an audit.

LH explained, "Matters related to retired employees are not subject to audits according to regulations, making it difficult to conduct fact verification or investigations," and closed the case.

Criticism has arisen that LH’s lukewarm response, using ‘regulations’ as an excuse, effectively ignored employee land speculation despite being aware of it.

Assemblyman Kim pointed out, "If LH had launched an active internal investigation at that time, the current public outrage and administrative waste could have been reduced." He continued, "From the 2018 Gwacheon New Town development information leak to the above report, LH missed many opportunities for internal correction," emphasizing, "It is time for a major external overhaul."