About 200 residents of Nammyung The Rau rental apartments in Mugae-dong, Gimhae-si, Gyeongnam, who are directly affected by the bankruptcy of Nammyung Construction, held another rally.
The residents urged on the 22nd at the parking lot in front of Gimhae City Hall, saying, "Every day is hell," and "Guarantee our blood-like rental deposits."
"We demanded the preservation of rental deposits and early conversion to sale to prevent property damage, but now early sale is no longer necessary," they raised their voices, "Just return the deposits as they are."
Residents of Nammyung The Rau rental apartments in Mugae-dong, Gimhae-si, Gyeongnam, are holding a rally in the parking lot in front of Gimhae City Hall. [Photo by Nammyung The Rau Residents' Countermeasure Committee]
One resident said, "The corporate rehabilitation process is suffocating us even more," and "I hope the city hall task force takes a more active role for the residents."
Another resident said, "Maybe because of the upcoming general election, no one seems to pay attention to us," and "It feels hopeless as tenants have no way to act."
Nammyung The Rau in Mugae-dong is managed by Nammyung Industrial Development, a subsidiary of Nammyung Construction, which started moving in February 2017 and houses 824 households.
Nammyung Construction, once the eighth largest mid-sized construction company in the Gyeongnam region, faced a liquidity crisis during the Ham-an regional housing association construction process, failing to recover construction costs and unable to cover promissory notes worth 1.24 billion KRW, leading to bankruptcy.
Nammyung Industrial Development filed for corporate rehabilitation procedures at Changwon District Court in December last year and received a decision to commence corporate rehabilitation procedures from Changwon District Court in February this year.
The Rau tenants are known to have deposited about 174.2 million KRW and 146.2 million KRW in deposits for 30-pyeong and 25-pyeong units, respectively.
The Housing and Urban Fund bonds are about 76.2 million KRW for 30-pyeong units and 63.8 million KRW for 25-pyeong units.
Gimhae City has formed a dedicated response team since December last year to prevent tenant damages and is currently responding.
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