KFTC Imposes Fines on 26 Companies for Alleged Collusion in Gwangju School Uniform Bids

Civic Group: "Institutional Reforms Needed to Strengthen Fairness"

On the 26th, a parent visited the Nanum School Uniform Store in Songpa-gu, Seoul, selecting a school uniform. Photo by Yonhap News

The Korea Fair Trade Commission (KFTC) has investigated 27 companies in connection with allegations of collusion in school uniform bids for middle and high schools in the Gwangju area, and imposed fines on 26 of them.

According to the Citizens' Coalition for a Society Without School Ties on March 18, the organization personally submitted a report to the KFTC in January 2023 regarding suspicions of bid rigging in school uniform tenders for middle and high schools in Gwangju.

In response, the KFTC investigated 27 companies involved in school uniform bidding for 136 schools in Gwangju. On the 6th of this month, after reviewing the case, the commission issued corrective orders and imposed a total fine of 321 million won on 26 companies.

The organization emphasized, "While there are some places where school uniforms are optional, at most schools, uniforms remain an essential part of daily school life. When all students purchase uniforms together, it involves significant expenses. School-supervised uniform purchasing needs to be managed more fairly and transparently than any other area."

They added, "However, since the introduction of the 'school-supervised purchasing system' in 2015 and the adoption of competitive bidding, there have been repeated cases in which the final bid price at many schools was excessively close to the estimated price. In particular, there have been instances where the difference between the winning bid and the second-highest bid was only 1,000 to 2,000 won. This raises reasonable suspicions that, despite appearances, these were not genuine competitive bids but rather collusion."

In 2023, a prosecution investigation found evidence of collusion in school uniform bidding in Gwangju, leading to fines and other criminal penalties for those involved. The fact that similar circumstances have recently been observed again suggests that this is not merely the result of a few individuals' misconduct, but rather points to a structural issue.

Accordingly, the civic group stated, "We call for thorough inspection and strict judgment from relevant ministries such as the Ministry of Education, the KFTC, metropolitan and provincial offices of education, and local KFTC offices." "Our intention in raising this issue is not to single out certain businesses or to shrink the school uniform market. Rather, it is to address the structural causes of these recurring violations and to establish a fair and transparent market order that students and parents can trust."

They also expressed hope that "the results of this recent KFTC review will not be limited to the determination of past violations, but will lead to clear and consistent law enforcement, effective measures to prevent recurrence, and institutional improvements to further strengthen the fairness of the school-supervised purchasing system."

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