Ministry of Land and Local Governments Conduct Joint Inspection of Maintenance Projects... 108 Ineligible Cases Detected

Unregistered Companies Skipping Cost Verification in Contractor Selection and Other Tasks
14 Cases Received Correction Orders
75 Cases Received Administrative Guidance

Local reconstruction and redevelopment associations that committed various violations during maintenance projects were collectively caught.

The Ministry of Land, Infrastructure and Transport announced on the 2nd, "From November 14 to December 9 last year, inspections were conducted at 8 maintenance project sites in 4 metropolitan cities, resulting in the detection of a total of 108 disqualification cases."

Since 2016, the Ministry has conducted joint inspections with Seoul City annually. However, following criticisms during last year's national audit that inspections of local maintenance project associations should also be strengthened, a joint inspection with local governments was conducted for the first time.

The Ministry inspected 8 sites including Busan Goejeong 5 District Redevelopment, Namcheon 2 District Reconstruction, Daegu Bongdeok Daedeok District Redevelopment, Daejeon Gao-dong 2 District Reconstruction, Daeheung 2 District Redevelopment, Gwangju Gyelim 1 District Redevelopment, Unnam District Redevelopment, and Jisan 1 District Redevelopment.

The inspection results revealed many cases where contracts that imposed burdens on association members, such as maintenance infrastructure construction or seismic design, were carried out without prior approval from the general meeting during the selection of appraisal corporations.

There were also cases where unregistered companies were caught performing association-related tasks such as obtaining consent for association establishment, preparing implementation plans, and selecting designers and constructors.

Additionally, cases were uncovered where maintenance project-related materials were not disclosed, or bidding announcement regulations were not properly followed during contractor selection, and cost verification was neglected.

Among the 108 disqualification cases, the Ministry requested investigations for 19 cases, issued corrective orders for 14 cases, and administrative guidance for 75 cases out of the remaining 89.

A Ministry official stated, "To prevent damages to association members and strengthen transparency in association management, we plan to conduct regular association inspections twice a year, in the first and second halves."