Construction Union Officials Extorting Small Businesses for Entertainment Expenses

Union Members Forced to Be Hired and 52 Million Won Extorted Under Welfare Expenses
Crime Committed Using Loudspeaker to Cause Severe Noise Disturbance

Construction union executives who extorted large sums of money from small subcontracting construction companies in the Gangwon region and squandered it on entertainment expenses were caught by the police.

Wonju Police Station announced on the 26th, "A (44) and B (42) were arrested on charges of joint extortion under the Act on the Punishment of Violent Crimes, and one other person was booked without detention."

A and others are accused of forcing company officials to hire union members and extorting 52 million won under the pretexts of union full-time fees and welfare fees while visiting six construction sites in Wonju, Pyeongchang, and Jeongseon from March 2021 to the end of last year.

According to the police investigation, the suspects held positions as head, deputy head, and organization director respectively at a certain union's Gangwon headquarters and conspired to commit the crime through negotiations, assembly notifications, and filing complaints.

In particular, if the construction companies did not accept their demands, they held assemblies in front of the construction sites and extorted money by causing extreme noise with loudspeakers.

The suspects were found to have squandered the extorted money on entertainment and living expenses.

The victim companies testified to the police, "We complied with the suspects' demands out of concern for losses due to construction delays."

The police plan to expand the investigation, suspecting there may be more victims, while probing further into the suspects' additional crimes.