[Comprehensive] Called 'Speculation and War'... Citizens Furious, "Did They Make a Fuss Just to Catch 7 People?"

Government Identifies 7 More Suspected LH Speculators, Total 20 Caught
Citizens Angry: "Only 20 Found After Investigating 10,000?"
Opposition Criticizes: "Laughable," "Investigation in Name Only"

Prime Minister Jeong Sye-gyun is announcing the results of the first comprehensive investigation into speculative investments in new towns by employees of Korea Land and Housing Corporation (LH) at the Government Seoul Office in Jongno-gu, Seoul, on the 11th. Photo by Kang Jin-hyung aymsdream@

[Asia Economy Reporter Kang Juhee] The government confirmed 20 suspected cases of land speculation involving employees of Korea Land and Housing Corporation (LH) in new towns, based on the results of the first full-scale investigation announced on the 11th. This includes an additional 7 suspects found beyond the initial 13 named by civic groups when the allegations were first raised. Although the government indicated a strict response by declaring a "war against real estate crimes," criticism has surged among citizens, questioning, "Is it only 7 suspects found?"

Prime Minister Chung Sye-kyun announced the results of the joint investigation team’s first inquiry at the Government Seoul Office in the afternoon.

Prime Minister Chung stated, "Including the suspected speculation cases raised by Minbyun (Lawyers for a Democratic Society) and the People's Solidarity for Participatory Democracy, a total of 20 suspected speculators have been identified," adding, "Land transactions were mainly concentrated in the Gwangmyeong and Siheung districts, and suspected speculation cases were also found in other 3rd new town districts."

This investigation was conducted by obtaining consent forms for information provision from about 14,000 people, including Ministry of Land, Infrastructure and Transport (MOLIT) and LH employees, and cross-checking transaction details and ownership information through the real estate transaction system and the national land information system. All 20 suspected cases were found to be LH employees.

Prime Minister Chung further emphasized, "The government declares a war against real estate crimes," and said, "We will prepare and strongly enforce special measures to strictly punish illegal and unfair practices occurring in the real estate market, such as false listings, planned real estate, and fly-by-night operators."

Korea Land and Housing Corporation (LH) headquarters building in Jinju, Gyeongnam./Photo by Yonhap News

Immediately after the government announcement, strong criticism of the investigation results spread mainly through online communities.

Netizens reacted with comments such as, "Is it reasonable that only 20 suspects were found after investigating 10,000 people?", "Who would speculate on land under their own name? This is not a proper investigation," "Did the government really announce such a result as an investigation? Which citizen would believe it?", and "The prosecution, National Tax Service, and Board of Audit and Inspection need to investigate to dispel public suspicion."

The People's Solidarity for Participatory Democracy and Minbyun, who first raised the allegations, also issued a statement expressing disappointment, saying, "Only 20 suspected speculation cases, which is much fewer than expected, were confirmed," and "The joint investigation team’s method did not go beyond organizing very basic facts."

Criticism of the full-scale investigation results also continued in the political sphere. Kim Eun-hye, spokesperson for the People Power Party, strongly criticized in a verbal statement, "Today, the Moon Jae-in administration gave the public a big sarcastic laugh," and asked, "Did they make such a fuss about catching only 7 speculators, mentioning ruin and disgrace?"

Spokesperson Kim added, "This investigation, limited only to MOLIT and LH employees without even attempting to address the most important cases of nominee transactions, succeeded only in cutting off the tail while saving the body. The Moon Jae-in administration’s land speculation gate, which involved local government heads and ruling party lawmakers, seems to be ending by showing only a sample."

Member of the same party, Yoon Hee-sook, also criticized in a post on her Facebook, saying, "This announcement did not properly verify even the already raised suspicions," and "It is a 'nominal investigation' that did not investigate transactions through acquaintances or nominees, nor the records of spouses."

Meanwhile, the government joint investigation team plans to request an investigation by the government joint special investigation headquarters for these 20 suspects. Additionally, a second investigation will be conducted targeting related officials in Gyeonggi, Incheon, and basic local governments, as well as all former employees of local public enterprises. The second investigation will also include spouses and direct relatives of MOLIT and LH employees.

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