[Reporter’s Notebook] The Masked "Village Development Fund"

Changwon Park / Jeju Bureau Chief, Honam News Division

At a legally permitted construction site in Iho-dong, Jeju City, incidents involving the demand for 10 million won and the unauthorized removal of coastal dune sand have come to light. Similarly, following last year's nationwide outrage over our newspaper's report on the "overpriced sundae" controversy at the Jeon-nong-ro cherry blossom festival—which ultimately led to its abrupt removal from the list of official provincial festivals—one finds a common thread: a deeply rooted, coercive practice of collecting so-called "village development funds," which has become a structural and exploitative toll system under the guise of community benefit.

There is a growing public outcry for judicial authorities to thoroughly eliminate this unchecked turf-protection culture, which, disguised as legitimate "village development funds," flagrantly violates Jeju's laws and principles with near-absolute power.

It is now gradually becoming apparent that the essence of the construction conflict in Iho-dong, which has dragged on for several months, stems not from grand concerns about environmental preservation, but from the ugly reality of monetary demands.

According to our coverage, while the village side initially blocked the construction by advocating for "coastal dune preservation," it was in fact confirmed that, during a meeting attended by the village head, his friend—an equipment operator—blatantly demanded a large sum of 10 million won, with the tacit approval of those present. Even more shocking is the revelation that the same operator illegally removed approximately 20 truckloads of sand from the dunes, which were supposedly being protected.

This distorted structure is strikingly similar to past schemes where certain vested interests managed businesses and collected illicit profits from behind the scenes.

Just as a powerful group would plant their own people in businesses and force them to use specific goods for profit, the Iho-dong situation mirrors this pattern: the village head's friend was brought in as an equipment operator, demanded a large sum from the builder, and used coercive tactics to block the construction—all in the presence of the village leader.

The builder’s desperate cry, "How much do I have to pay off?" vividly illustrates how the lawful exercise of private property rights is being trampled by Jeju's lawless and entrenched turf-protection practices.

The shadow of these extortionate "turf fees" extends far beyond construction sites.

During last April's Jeon-nong-ro cherry blossom festival, Jeju's tourism industry suffered a severe blow when visitors faced the outrageous price of 25,000 won for six sundae sausages. Behind this price gouging was, once again, the so-called "village development fund."

At the time, powerless small-time street vendors were forced to rent tents at 500,000 won—three times the going rate—and the festival organizing committee collected a total of 14.7 million won under the pretense of village development funds.

The harsh result was a vicious cycle: vendors forced to pay exorbitant stall fees inflated prices for tourists in order to make ends meet.

Earlier this month, the Jeju Provincial Festival Development Committee abruptly removed the cherry blossom festival from this year’s official list of provincial festivals due to the controversy over price gouging and other issues. This decades-old festival suffered a humiliating setback because of unjust turf fee practices.

What began as genuine, voluntary community funds to support mutual aid in local society has now degenerated into a system of "land staking" and "toll collection" that tightens the noose around merchants and outsiders. If money is not paid, business operations and construction are blocked under the pretext of environmental preservation or maintaining order. There is growing criticism that this is no different from a "gangster-style shakedown" disguised as legality.

More serious still is the passive attitude of the administrative authorities, who should be correcting these practices. During the price gouging controversy at the festival, the administration simply said, "Report it to the police," and stood aside. In the current Iho-dong case, officials granted proper permits but have done nothing as the village’s strong-arm tactics trample on private property rights.

While illegal and unfair practices are neglected under the guise of "resolving civil complaints," it is only innocent citizens and tourists who end up as victims of these unjust turf fees.

As long as the lament "How much do I have to pay off?" continues to echo whenever someone tries to build a house or host a festival in Jeju, there can be no future for the island. Unjust and illegal practices of monetary extortion must be thoroughly eradicated by both judicial and administrative means.

Private property rights and lawful economic activities must never be violated by baseless strong-arm tactics. Prompt and rigorous investigation by judicial authorities, as well as deep self-reflection and reform by the administrative authorities, are urgently needed.

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