Eradicating Illegal Subleasing in Hinterland Complexes... Busan Port Authority Implements Public Interest Reporting System

Busan Port Authority (BPA) will introduce and implement a public interest reporting system from the 25th to eradicate illegal leasing activities by companies residing in the Busan New Port hinterland complex.

According to the implementation agreement signed with BPA, companies residing in the hinterland complex are not allowed to let others use the leased land, but suspicious cases of illegal leasing have been continuously raised.

Accordingly, Busan Port Authority has been conducting on-site investigations and joint inspections with related organizations such as Busan Customs, but due to limitations of inspections, it has introduced the public interest reporting system.

When a report is received, BPA plans to review the documents, conduct on-site investigations, and request investigations by the police and customs. Based on the investigation results, the company will be heard, and rental fees will be calculated and imposed based on the publicly announced land price, or actions such as termination of the lease contract will be taken.

Overview of the new port hinterland complex.

As of this year, the rental fee for the hinterland complex is 365 KRW per square meter per month according to the Ministry of Oceans and Fisheries' announcement on rental fees for free trade zones, which is lower than the publicly announced land price.

The procedures after receiving a report will be kept confidential, and if illegality is confirmed, a reward of 1% of the rental fee amount based on the publicly announced land price (up to 200 million KRW) will be paid.

On the same day, BPA held a briefing session for 29 companies residing in the hinterland complex at the Busan New Port Welfare Plus Center and requested cooperation to eradicate illegal activities.

Hong Seong-jun, Head of BPA Operations Headquarters, said, “The public interest reporting system is an essential system to maintain the public nature and establish order in the hinterland complex,” and added, “We will continue to strive to support the growth of resident companies.”

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