Illegal Use Change of Pensions, Compulsory Enforcement Fines to Increase Up to 4 Times

The site of the Toba Pension disaster in Donghae City, Gangwon Province, where a tragedy occurred last month on the 27th resulting in the deaths of six family members due to a suspected gas explosion, is tightly cordoned off with police lines. [Image source=Yonhap News]

[Asia Economy Reporter Lee Chun-hee] Going forward, the enforcement penalty imposed for illegal use changes in profit-oriented buildings such as sales, lodging, and rentals will increase up to four times.

On the 9th, the Ministry of Land, Infrastructure and Transport announced that it recommended local governments to strengthen and operate the enforcement penalty system for profit-oriented violating buildings. Currently, enforcement penalties can be imposed on buildings used for profit if illegal use changes, new construction or extensions, or increases in the number of housing units occur. However, since the penalty has been significantly lower than the expected profits from illegal operations, violations have continued. Recently, safety accidents such as the Donghae pension incident have also frequently occurred.

To enhance the effectiveness of the enforcement penalty system, the Ministry amended the Building Act in April last year to allow penalties to be increased by up to 100%. In August, the enforcement decree was revised to raise the penalty rate from 3% to 10% of the standard market value.

However, there have been repeated criticisms that some local governments do not actively apply the strengthened system or reduce the penalties, resulting in ineffective enforcement. Accordingly, the Ministry recommended local governments to ▲ impose enforcement penalties increased by up to 100% for habitual violations ▲ revise ordinances to limit penalty impositions to twice a year ▲ conduct actual condition surveys on violating buildings.

An official from the Ministry said, "If enforcement penalties are imposed according to this recommendation, they will increase up to four times compared to the existing penalties, which will help suppress the occurrence of violating buildings and ensure prompt restoration."

This content was produced with the assistance of AI translation services.