Failed 'Daejang-dong Administrative Investigation' at Seongnam City Council Due to Democratic Party Opposition

Rejected with a vote of 15 to 19

Result of the vote on the 'Daejang-dong Special Favor Allegation Administrative Investigation Request' at the Seongnam City Council plenary session on the 12th.

The 'Daejang-dong Special Favor Allegation Administrative Investigation' pushed by opposition party members of the Seongnam City Council in Gyeonggi Province failed on the 12th due to opposition from the Democratic Party of Korea.

At the plenary session that day, the related agenda proposed by opposition members was rejected with 15 votes in favor and 19 against out of 34 members present.

Among the 15 opposition members who voted in favor were 13 from the People Power Party, 1 from the Minsheng Party, and 1 from the Awake Citizens Solidarity Party, while all 19 members of the ruling Democratic Party opposed it.

Opposition members raised the necessity of an administrative investigation, stating, "During the Daejang-dong development process, excessive dividend profits were concentrated in the private sector, revealing that a small number of individuals gained thousands of billions of won in profits."

On the other hand, ruling party members countered, "Since investigations by the prosecution and police are ongoing and Seongnam City and Seongnam Urban Development Corporation are taking legal and administrative measures, an administrative audit is unnecessary."

Lee Gi-in, a People Power Party member who was the chief proposer of the agenda, said, "Opposition members even submitted a resolution pledging to resign en masse if it was confirmed that they were involved in the Daejang-dong development special favor allegations and pushed for an administrative investigation, but the majority Democratic Party rejected it, which is deeply regrettable," adding, "We will consider requesting an audit from the Board of Audit and Inspection and forming a joint citizen investigation team."

Meanwhile, the agenda for the Baekhyeon MICE urban development project, which sparked the 'Second Daejang-dong controversy,' was passed at the plenary session with 19 votes in favor, 3 against, and 12 abstentions out of 34 members present.

The Baekhyeon MICE urban development project is a plan to invest 2.7207 trillion won to create a complex MICE (Meetings, Incentives, Conferences, and Exhibitions) industry cluster for exhibitions, conferences, and tourism on 206,350 square meters of urbanized land scheduled in Jeongja-dong 1st district, Bundang-gu.

Like the Daejang-dong development project, it will adopt a public development method, with Seongnam Urban Development Corporation holding 50% plus one share and private developers holding 50% minus one share.

Lee said, "Seongnam City and Seongnam Urban Development Corporation have not presented concrete measures related to the recovery of excess profits by private developers, which was an issue in the Daejang-dong development," and pointed out, "There is concern that companies like Hwacheon Daeyu might enter the Baekhyeon MICE project, leading to a second Daejang-dong development."

It is reported that Seongnam City plans to invite private developers, select a preferred negotiation partner around January next year, and establish a Special Purpose Company (SPC) in April.