The redevelopment site of Hakdong 4 District in Dong-gu, Gwangju, where the 'Hakdong Disaster' occurred. Photo by Yonhap News
Regarding the collapse disaster at the Hakdong redevelopment demolition site in Gwangju, Dong-gu received a portion of the indemnity claim from HDC Hyundai Development Company (HDC) as a donation.
On August 4, Dong-gu announced that it had received a donation of 100 million won from HDC through the Community Chest of Korea.
Initially, Dong-gu claimed 212 million won from HDC for expenses incurred in handling the Hakdong 4 District collapse disaster. However, HDC paid only 122 million won as indemnity, excluding 90 million won. HDC refused to pay the remaining 90 million won, stating that the amount overlapped with support funds already provided to the bereaved families and could constitute a breach of trust.
After discussions, the district office and HDC agreed to replace the lawsuit for indemnity claims with a donation. Gwangju City also received 90 million won in the same manner in December of last year.
With HDC additionally donating 10 million won as a gesture of moral responsibility, the total donation amounted to 100 million won, thereby concluding all indemnity claims by Dong-gu. The district plans to use the donated 100 million won for renovation projects at welfare facilities for people with disabilities and the elderly within the district.
Meanwhile, the Hakdong redevelopment collapse disaster occurred at approximately 4:22 p.m. on June 9, 2021, when a five-story building undergoing demolition at the Hakdong 4 District redevelopment site completely collapsed. The debris buried a city bus that was stopped at the bus stop directly in front of the site, resulting in nine deaths and eight injuries.
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