57 People Accused of Illegal Apartment Resale in Jeonju New Town, 43 Subject to Administrative Sanctions

Investigation of Three Apartment Complexes Including Eco City and Innovation City

Jeonju City Hall

[Asia Economy Honam Reporting Headquarters Reporter Hong Jaehee] Recently, illegal resale activities have been rampant, centered around new apartments in the new town area of Jeonju, Jeollabuk-do.

According to the city on the 11th, an investigation into illegal resale activities related to new town apartment sales revealed a large number of illegal transactions involving resale-restricted pre-sale rights.

The city conducted an investigation last month targeting three new town apartment complexes to block illegal real estate brokerage activities that inflate apartment price bubbles and to prevent damage to actual buyers.

This investigation focused on transactions involving pre-sale rights in three new town apartment complexes?Eco City, Innovation City, and one other?targeting parties and related persons requiring special scrutiny for illegal resale activities.

The city collected explanatory materials from 768 parties and related persons involved in suspected illegal resale transactions related to Eco City Desiang, The Sharp Phase 3, and Innovation City Daebang DM City, focusing on violations such as resale restrictions, false transactions, and false price reporting.

As a result of the inspection, 57 individuals who illegally traded pre-sale rights restricted from resale for one year or engaged in related activities were identified and reported.

Additionally, 43 individuals who violated the Real Transaction Act and the Licensed Real Estate Agents Act in connection with the resale of these pre-sale rights are planned to face administrative sanctions.

The city plans to conduct further review for 271 individuals and proceed with additional reports and administrative actions according to relevant laws, while continuing to track down 8 individuals who failed to submit explanatory materials due to unknown addresses.

Pre-sale rights have a resale restriction period of one year from the date of winning the lottery. During this period, sellers, licensed real estate agents, and those who mediate pre-sale rights transactions are subject to fines of up to 30 million KRW or imprisonment of up to three years under Article 101 of the Housing Act.

Licensed real estate agents may also face cancellation of registration depending on the case, and if violations of the Real Transaction Act or Licensed Real Estate Agents Act are uncovered during the investigation, they will be subject to fines.

Kim Hyungjo, head of Deokjin District Office, stated, “This joint investigation into illegal resale of pre-sale rights will be effective in curbing speculation in rapidly rising development area apartments,” adding, “We will continue to impose sanctions to ensure that citizens who are actual residents, not investors, do not suffer damage.”

Meanwhile, this investigation was conducted together with the Ministry of Land, Infrastructure and Transport’s Real Estate Market Illegal Activities Response Team, Jeollabuk-do Provincial Police Agency, and Korea Appraisal Board, targeting parties and related persons involved in transactions.

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