Fair Trade Commission imposes fines on 3 companies for colluding to raise parking fees at Osong Station

Fines were imposed on three parking operators at Osong Station for colluding to raise parking fees in line with the opening of the Suseo High-Speed Railway (SRT).

The Korea Fair Trade Commission (KFTC) announced on the 23rd that it imposed a total fine of 275 million KRW on Osong Parking, Seongyeong Parking Lot, and Osong Station West Parking Lot, which operate the B, D, and E parking lots at Osong Station, for violating the Monopoly Regulation and Fair Trade Act (Fair Trade Act). The fines were 88 million KRW for Osong Station West Parking Lot, 72 million KRW for Seongyeong Parking Lot, and 11.5 million KRW for Osong Parking.

According to the KFTC, the three parking operators at Osong Station occupy 67.1% of the parking spaces at the station. They agreed to raise parking fees by about 40% in line with the opening of the SRT and continued the collusion for 4 years and 8 months from January 2017 to September 2021.

As complaints from users increased due to the sharp rise in parking fees, the Korea Rail Network Authority, which holds the parking lot usage permit, sent a letter requesting a fee reduction. In response, the three operators also agreed on the extent of the daily fee reduction. Later, in 2018, they raised the fees again to the agreed level.

This action uncovered secret price collusion that took place over 4 years and 8 months at Osong Station parking lots and is the first case of sanctioning collusion among parking operators at KTX stations. It is expected to serve as a warning to the related industry by clearly establishing that collusion among local parking lots operated by individual business owners is also subject to punishment.

The KFTC emphasized, "We will strengthen monitoring of collusive acts in areas affecting the public’s livelihood and take strict measures when violations of the law are detected."