Prime Minister Jeong: "20 Suspected of Speculation to Face Forced Disposal of Farmland... LH Employees Prohibited from Acquiring Land" (Update)

LH Follow-up Measures Meeting of Relevant Ministers

Prime Minister Chung Sye-kyun is presiding over the follow-up measures meeting of related ministers for LH held at the Government Seoul Office Building on the 14th. March 14, 2021.
[Image source=Yonhap News]

[Sejong=Asia Economy Reporter Son Seon-hee] Prime Minister Chung Sye-kyun stated on the 14th, "From now on, employees of Korea Land and Housing Corporation (LH) will be prohibited from acquiring land for purposes other than actual use." This is aimed at fundamentally preventing land transactions for speculative purposes in relation to the illegal speculation scandal involving LH employees who abused non-public internal information.

On the afternoon of the same day, Prime Minister Chung chaired the 'LH Follow-up Measures Meeting of Relevant Ministers' at the Government Seoul Office and said in his opening remarks, "We will strictly and thoroughly manage the acquisition of farmland so that speculators can no longer prey on farmland as a target for speculation." He added, "We will strengthen the farmland acquisition review process from the outset of speculation by conducting thorough examinations of agricultural management plans and ensuring that areas with speculation concerns undergo mandatory review by the newly established Farmland Committee." He further stated, "We will reinforce the farmland management system with meticulous post-management measures such as mandatory investigations into the usage status of newly acquired farmland and strengthening penalties for illegal activities to prevent speculation from infiltrating."

Prime Minister Chung also said, "Before designating new project districts, we will conduct a full survey of employees' land holdings, and if illegal speculation or suspicious activities are detected, we will take strong personnel actions such as dismissal ex officio and ensure punishment through investigation requests." He added, "We will strengthen the monitoring system to prevent the leakage of internal information to the outside, and establish grounds to impose strict personnel measures in case of leakage and legal sanctions against both internal and external parties involved if speculative acts occur as a result."

Earlier, the Government Joint Investigation Team under the Office for Government Policy Coordination announced that for the 20 suspected speculators found to hold land in the 3rd New Town districts, "we will promptly proceed with forced farmland disposition measures according to the investigation results." Regarding the upcoming investigation led by the National Police Agency's Government Joint Special Investigation Headquarters, he emphasized, "We will thoroughly investigate illegal speculation allegations with a resolute determination," and "We will impose strong punishments based on the results and thoroughly recover illegal criminal proceeds according to the law."

Prime Minister Chung expressed condolences regarding two LH employees who recently took extreme measures, saying, "It is truly regrettable, and I hope such incidents never happen again."

However, he stated, "This LH incident is only a part of the accumulated structural real estate corruption," and emphasized his determination to eradicate speculation corruption by saying, "The real estate cartel of privileged groups who have held power, capital, information, and public opinion has turned Korea's land into a speculation ground and transformed houses for people to live in into means of wealth accumulation. Their real estate festival, where they had an easy advantage, must now end."

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