Union Officials Caught Extorting 180 Million Won from Construction Companies Through Threats

Union officials who extorted money by threatening construction companies at more than 20 construction sites in the Seoul metropolitan area were caught in a large-scale police crackdown.

The Violent Crime Investigation Division 1 of Incheon Metropolitan Police Agency announced on the 28th that it arrested two executives, including A (45), the vice chairman of a certain construction sector union, on charges of joint extortion under the Act on the Aggravated Punishment of Specific Crimes, and booked another 13 executives, including branch chief B (39), without detention on the same charges.

The construction sector union they were active in is not affiliated with either of the two major labor federations, the Korean Confederation of Trade Unions (KCTU) or the Federation of Korean Trade Unions (FKTU).

According to the police, A and others are accused of extorting 180 million won from construction companies at 29 apartment construction sites in Seoul, Incheon, and other parts of the metropolitan area from March 2021 to December last year, under the pretexts of union dues and union development funds.

They forced construction companies to hire union members, and if their demands were not met, they intimidated them with false assembly reports and actually held rallies at construction site entrances to disrupt work.

A and others were found to have scouted construction sites in advance using real estate brokerage applications and threatened company officials by exploiting minor faults such as not wearing safety helmets or poor drainage.

Union Threatening Construction Company
Photo by Incheon Police Agency

The union opened an office in the Eunpyeong District of Seoul three years ago and had five branches in Seoul, Incheon, and Gyeonggi Province. The executives, including A, divided roles such as chairman, vice chairman, general headquarters chief, and branch chiefs.

However, except for the Seoul office, the other five branch offices existed only on paper with formal addresses recorded in documents but did not actually exist. Among the 115 union members excluding executives, most were foreigners or day laborers who had never participated in union activities, according to investigations.

A police official stated, "A and others continuously harassed companies by visiting site offices and filing complaints based on weaknesses found at construction sites until the companies complied with the union's demands," adding, "They also falsified collective bargaining agreements to make it appear as if they were conducting legitimate union activities."

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