Intensive Crackdown on Franchise Monitoring
Fines and Registration Cancellation upon Detection
Sancheong-gun, Gyeongnam Province, is launching a 'First Half Sancheong Love Gift Certificate Illegal Distribution Crackdown.'
During this crackdown, which will be carried out until the 28th, the focus will be on ▲receiving or exchanging gift certificates without selling goods or providing services (commonly known as 'Kkang') ▲franchise owners purchasing gift certificates under their own or others' names and then exchanging them ▲refusal to issue cash receipts, treating customers unfavorably compared to cash payments when selling goods ▲operating businesses restricted from registering as franchise stores.
In particular, among the 2,622 Sancheong Love Gift Certificate franchise stores, the authorities plan to secure a list of suspicious transaction franchise stores based on continuous monitoring and payment data from the gift certificate operation agencies, Korea Minting and Security Printing Corporation and Korea Easy Payment Network, and then inspect illegal distribution activities through on-site visits by the crackdown team.
If illegal distribution activities are detected, administrative measures such as fines up to 20 million KRW and cancellation of franchise registration will be imposed, and in serious cases, police investigations will be requested.
An official from the county stated, “With the increase in sales of Sancheong Love Gift Certificates, the gift certificates are contributing to the stabilization of small business management and preventing capital outflow. We will all act as watchdogs to prevent illegal distribution cases and strive to establish a sound distribution order for the gift certificates.”
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
