"Thorough Crackdown to Ensure Local Small Business Support Policies Are Not Undermined"
Yeongju City in Gyeongbuk Province will conduct a comprehensive crackdown on illegal distribution of Yeongju Love Gift Certificates from the 18th to December 20th to establish a sound distribution order.
This crackdown is carried out in accordance with the Ministry of the Interior and Safety's second half-year comprehensive crackdown plan, aiming to strengthen enforcement so that the local love gift certificates are used according to their original purpose and to eradicate illegal distribution.
Yeongju City will form a joint crackdown team with the gift certificate operation agency, using an abnormal transaction detection system and serial number tracking program to extract suspicious transactions from gift certificate transaction records between May and October, and will conduct focused inspections on the corresponding affiliated stores.
In addition, based on reports received through the Illegal Distribution Reporting Center, the crackdown team plans to visit affiliated stores directly to verify illegal distribution.
The main targets of the crackdown and reports include ▲ receiving or exchanging gift certificates without selling goods or providing services ▲ operating restricted businesses through false registration of affiliated stores and ghost company activities ▲ refusal to accept gift certificate payments ▲ refusal to issue cash receipts ▲ treating gift certificates under less favorable conditions than cash, etc.
Affiliated stores found violating the rules may face on-site guidance, cancellation of store registration, recovery of unfair profits, or fines up to 20 million KRW according to the "Act on the Promotion of Use of Local Love Gift Certificates." The city also plans to request police investigations for serious violations.
Mayor Park Nam-seo emphasized, “We ask for the active cooperation of affiliated store owners and citizens to eradicate illegal distribution,” and added, “We will thoroughly enforce the crackdown to ensure that the policy intent to support local small businesses is not undermined.”
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