Prosecuted for Violation of the Social Welfare Services Act, Granted Deferred Prosecution, and Committed Another Offense
[Asia Economy Reporter Ra Young-cheol] Representatives of social welfare corporations who illicitly profited by arbitrarily selling buildings or land owned by social welfare corporations and illegally used them for residential purposes have been caught by judicial authorities.
The Gyeonggi Province Special Judicial Police Unit announced on the 6th that "six representatives of social welfare corporations have been booked on charges including violation of the Social Welfare Services Act."
The suspects are accused of selling, leasing, changing the use, or gifting buildings or land of social welfare facilities supported by the government or local governments without permission, pocketing a total of 650 million KRW.
According to the investigation, Social Welfare Corporation A (Anseong, Gyeonggi) sold land (830㎡) and a building (221.3㎡), which were basic assets and were to be acquired under an urban development plan, to a real estate development company without the governor's approval, making 550 million KRW. It was also revealed that money deposited into the corporation's account was withdrawn monthly in amounts of 2 to 3 million KRW as personal labor costs.
The representative of Social Welfare Corporation B (Uijeongbu, Gyeonggi), which operates a senior welfare facility, sold a corporation-owned building in the Hanam city area, designated as a redevelopment site, to a real estate development company without authorization, pocketing 100 million KRW.
The executive director of Social Welfare Corporation C (Hanam, Gyeonggi), which operates a vocational rehabilitation facility for the disabled, changed the use of a two-story building in Gwangju city, Gyeonggi, to residential use without permission. His family lived on the second floor, and the first floor was leased free of charge to a third party.
Notably, Corporation C was also caught last year by the Gyeonggi Special Judicial Police for violating the Social Welfare Services Act and received a suspended prosecution.
Kim Young-soo, head of the Gyeonggi Province Special Judicial Police Unit, said, "The unjust reduction of basic assets of social welfare corporations is a criminal act that destroys the organically connected social welfare ecosystem," and added, "We ask for citizen reports and will continue the investigation."
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