LH speculation fallout hits SH "Second investigation finds zero cases of employee speculation"

One Employee Family Member Received Compensation in Godeok Gangil District but Acquired Land in 1987

[Asia Economy Reporter Onyu Lim] Following the land speculation allegations involving Korea Land and Housing Corporation (LH), Seoul Housing and Communities Corporation (SH), which launched its own investigation, announced on the 5th that no suspicious cases of employee speculation were found in the second investigation, following the first investigation.

SH Corporation conducted a second full-scale investigation regarding compensation for land and other assets involving employees and their families and disclosed the results on the same day.

As a result, it was found that one employee’s family member received compensation for land in the Godeok Gangil District. However, it was confirmed that the employee’s father acquired the land in December 1987, prior to the employee’s hiring (December 2018), and thus there were no speculation allegations.

This investigation targeted 6,688 employees and their family members who submitted consent forms for the use of personal information by the 2nd of this month. SH Corporation had previously announced on the 11th of last month that in the first investigation, four employee family members received compensation, with one having no allegations, one under fact-checking, and two having already been severely disciplined (demoted) after an internal investigation for submitting false farming documents in 2019. Among them, the employee under fact-checking was finally confirmed to have no speculation allegations as it was verified that the employee’s father resided near the compensated land since March 1998 and farmed the land prior to the employee’s hiring (July 2002).

The second investigation was conducted under the supervision of SH Corporation’s Audit Office, just like the first. Consent forms for the use of personal information were collected from employees, spouses, and both cohabiting and non-cohabiting direct lineal relatives. The corporation cross-checked compensation records with the names and resident registration numbers of employees and their families to investigate whether they received compensation for land or fixtures in 14 project districts where the corporation has implemented projects since 2010.

Kim Seyong, President of SH Corporation, stated, “As a result of the two investigations, no suspicious cases of land speculation involving employees or their families were found. It is analyzed that the periodic rotation of positions every three years, regular investigations through the compensation system, and undercover audits by the Audit Office effectively prevented compensation corruption.” He added, “We will also implement follow-up measures such as asset registration for executives and employees without delay as soon as related laws are revised.”

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