Eight Current and Former LH Executives Booked for Trading Over 20 Apartments Using Insider Information

Korea Land and Housing Corporation (LH) CI

[Asia Economy Reporter Ryu Tae-min] Former and current executives of Korea Land and Housing Corporation (LH) are under police investigation for allegedly trading dozens of apartments in promising development areas nationwide using insider information over the past decade.

On the 15th, the Songpa Police Station in Seoul announced that it has booked and is investigating eight individuals, including LH current Grade 3 executive Mr. A, who is currently serving, Mr. B who retired from LH over ten years ago, and their relatives and acquaintances, on charges of violating the Real Name Real Estate Act.

Investigations revealed that since 2010, they bought and sold more than 20 apartments across various locations nationwide, including Seoul, Wirye New Town, and Suwon Gwanggyo New Town, making profits from price differences.

The police believe that Mr. A, who was responsible for land-related compensation assessments during development projects such as new towns and worked in multiple locations nationwide, used insider information related to residential districts to purchase apartments.

It is known that they established a phantom real estate corporation jointly four years ago to take advantage of the lower taxes applied when corporations sell apartments compared to individual multi-homeowners.

Additionally, Mr. B is understood to have purchased unsold LH public housing units supplied for socially vulnerable groups.

The police reportedly began the investigation after detecting suspicious circumstances suggesting real estate transactions using insider information while collecting intelligence related to real estate speculation recently.

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