Crackdown on 'Gyeonggi Local Currency Fraud'... Targeting Industries with Registration Restrictions

Published 17 Aug.2022 10:29(KST)

Focused Crackdown on Entertainment Bars, Jewelry Stores, and Massage Parlors

Local Currency in Gyeonggi Province [Gyeonggi-do]

[Asia Economy Reporter Ra Young-cheol] Gyeonggi Province has launched a crackdown on the 'illegal distribution of Gyeonggi local currency' targeting specific businesses such as entertainment establishments in 31 cities and counties within the province.

According to the province on the 17th, until September 6, they plan to focus on cracking down on unfair transactions such as accepting local currency for goods sales or charging prices higher than the actual cost in restricted business sectors including entertainment bars, jewelry stores, and massage parlors.

Additionally, on-site inspections will be conducted on franchise stores that have already been deregistered due to unfair transactions for purchasing and exchanging paper-type local currency, and strict measures will be taken if violations are found.

Franchise stores caught illegally distributing local currency will face deregistration or fines according to relevant laws, and may be subject to investigation requests.

Earlier in March, the province uncovered a total of 60 cases of illegal distribution through a comprehensive crackdown on Gyeonggi local currency. Among these, 18 cases resulted in franchise deregistration, while 42 minor cases received on-site guidance.

A provincial official stated, "The purpose of issuing Gyeonggi local currency is to increase income for traditional local markets, neighborhood businesses, and small business owners," adding, "The province will continue to conduct crackdowns on illegal distribution of local currency to protect small business owners and others."