Jinju City Councilor Oh Kyunghoon Urges Resolution of "Delivery of Jinju" Unpaid Settlement Incident...Small Business Owners Still Suffering

Unpaid "Delivery of Jinju" settlements total 190 million won... Trials concluded, but compensation remains stalled
Jinju City keeps stressing only "legal limitations"... Growing calls for administrative accountability

At the 271st meeting of the Economic and Welfare Committee of Jinju City Council for the 2026 municipal administration major work report (Job and Economy Division), Oh Kyunghoon, Chair of the Economic and Welfare Committee of Jinju City Council, pointed out that, in relation to the unpaid settlement incident involving the "Delivery of Jinju" platform, the small business owners who suffered damage are still in a frustrating situation.

Chair Oh criticized Jinju City for maintaining a passive attitude and lacking the will to resolve the issue, saying that although both criminal and civil trials have been completed, the structure in place does nothing to help actual recovery of the damage.

Photo of Oh Kyunghoon, Chair of the Economic and Welfare Committee, Jinju City Council

According to the data submitted by Jinju City to Assemblyman Oh Kyunghoon, the unpaid settlement damage in this case involves a total of 403 businesses and amounts to approximately 190 million won. Although some settlements have been made, a significant portion of the damage suffered by small business owners still remains unresolved.

In the criminal proceedings, a total of 110 cases were filed, with some cases receiving summary orders imposing fines of 5 million won, while the remaining cases have been forwarded to other authorities or are still under investigation. In the civil lawsuits, the victims won all cases, but because the perpetrator has no assets to enforce against, compulsory execution has been suspended, leaving only the judgments in place without any actual compensation.

Regarding this, Chair Oh said, "We have gone through both criminal and civil procedures, but in the end it is a structure that brings no practical benefit to damage recovery," and added, "Even so, Jinju City continues to repeat only that 'it is legally difficult' and that 'the local government cannot repay the money on behalf of the perpetrator'." He went on to say, "All the trials are over, but the victims have not received their money, and the perpetrator has no ability to pay, effectively forcing the victims into a state of giving up," stressing, "At this point, it is no longer a matter of arguing over whether there is legal liability; the administration must step up and take responsible action."

Chair Oh also said, "There have been cases where the Ministry of SMEs and Startups stepped in with emergency funds and financial support when unpaid settlement damage occurred in e-commerce, and the government has also prepared various measures such as a pre-support and post-recovery scheme to provide relief for victims of jeonse fraud," and criticized, "Other government bodies and local governments are finding ways to respond, but for Jinju City alone to say 'there is no way' cannot be seen as responsible administration." He then urged, "If direct compensation is difficult, the city should at least actively review administrative alternatives such as providing emergency support first and then exercising the right of recourse, or offering emergency aid through a municipal ordinance."

Meanwhile, a Jinju City official stated, "We have been working in coordination with the Korea Legal Aid Corporation to provide legal responses, and we will continue our efforts to support small business owners even after the court rulings."