Misdemeanor and Railroad Business Act Violations
170,000 Empty Seats During Last Year's Chuseok

Ahead of the first Chuseok holiday since COVID-19 became endemic, it has been confirmed that dozens of train tickets are already being traded on secondhand transaction sites during the holiday period. Along with this, the cancellation rate of train tickets close to the departure time during the holiday period has also reached 10%. As citizens who actually want to use the train may find it difficult to obtain tickets or have to pay extra, urgent measures are required.


This Holiday Train Ticket Battle... Concerns Over Scalpers' 'Rampant Activity' and 'Mass Cancellations' View original image

◆Boom in scalped ticket trading... Paying extra is 'illegal'= After the Chuseok train ticket reservations ended from the 29th to the 31st of last month, posts selling scalped tickets with added premiums flooded secondhand trading platforms. On the 3rd, searching for 'train ticket' and 'KTX' easily revealed posts trading train tickets. About 20 posts appeared on Junggonara, 20 on Bungaejangter, and 10 on Danggeun Market respectively, but since posts are removed once transactions are completed, the actual number of transactions is presumed to be much higher.


It was rare to find tickets sold at face value. One seller posted a KTX ticket from Yongsan Station to Gwangju Songjeong Station on September 27th for 70,000 won. The fare for this section is 46,800 won for a standard seat, meaning a premium of over 20,000 won was added. Another seller offered a KTX ticket from Busan Gupo Station to Seoul Station on October 1st for 140,000 won, 35,000 won more than the regular fare. Some even set absurd prices like '9,999 won', '22,222 won', or '1,111 won' and negotiated individually. There were also signs of macro (automated repetitive) programs being used to purchase train tickets for scalping. One internet app store had a macro program for buying train tickets, downloaded by as many as 30,000 people.


Trading scalped tickets at prices higher than the official fare is clearly illegal. According to Article 3 of the Minor Offenses Act, anyone reselling admission tickets, boarding passes, or boarding tickets for a premium can be fined up to 600,000 won, detained, or penalized. Specifically for train tickets, under the Railroad Business Act, those who habitually or commercially resell tickets at prices higher than their purchase price or broker such sales can be fined up to 10 million won. A Korea Railroad Corporation (KORAIL) official stated, "We have established a big data analysis system to prevent illegal ticket trading, monitoring abnormal purchase histories such as bulk buying and returns, and real-time access logs using macro programs. We are strengthening monitoring of fraudulent sales on major online sites and responding strongly."


Secondhand trading sites also use technology to detect specific keywords and patterns to monitor sales posts and block or restrict transactions of items prohibited or restricted by current laws. A representative from a secondhand trading site said, "Train tickets are subject to restrictions on illegal sales and transfers based on the Railroad Business Act, so they are included in the scope of sanctions," adding, "We are actively working to create a proper ticket usage environment and eradicate illegal ticket trading." However, it is practically difficult to catch all transactions that happen instantly online.


Posts for buying and selling Chuseok train tickets posted on secondhand trading platforms. [Photo by each platform capture]

Posts for buying and selling Chuseok train tickets posted on secondhand trading platforms. [Photo by each platform capture]

View original image

◆10% of tickets are canceled close to departure every holiday= Not only scalped tickets but also many cases of cancellations close to train departure times occur. According to KORAIL, last year's Chuseok holiday saw 384,041 tickets canceled or returned from 3 hours before departure to after departure. This accounts for 10% of the total tickets issued (3,855,366 tickets). During this year's Lunar New Year holiday, 360,779 tickets (9.6%) were returned out of 3,754,630 tickets issued. Tickets that were ultimately not resold and became unusable were 174,653 last Chuseok and 185,673 this Lunar New Year.


Despite the difficulty in booking tickets, cancellations continue because many make speculative reservations without intention to use, and some seek profits through scalped ticket sales. The relatively low cancellation fees also contribute. Under KORAIL's refund policy, tickets reserved on Fridays, Saturdays, Sundays, and public holidays incur a 5% fee if canceled on the day of travel, and 10% if canceled within 3 hours before departure. Even cancellations up to 20 minutes after departure only incur a 15% fee. Compared to Japan's Shinkansen, a representative high-speed train, which charges a 30% fee upon refund after ticket receipt, this is a low rate.



Since these issues harm citizens who genuinely want to use trains, there are calls for measures to minimize scalped ticket trading and cancellations. Professor Eunhee Lee of Inha University's Department of Consumer Studies said, "Some people give up going to their hometowns because they cannot get train tickets," and added, "The government needs to strengthen crackdowns and penalties on scalped ticket trading." Professor Yunho Lee, Chair Professor of Police Studies at Korea Cyber University, also stated, "Scalping disrupts the market economy and can be seen as a serious crime that destroys market economic logic beyond monetary loss," adding, "Currently, scalping is punished under the Minor Offenses Act, but discussions on strengthening penalties are needed."


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

© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

Today’s Briefing