Feb 20 • 04:02 UTC 🇰🇷 Korea Hankyoreh (KR)

Bucheon City Councilor Fined 5 Million Won for Collecting 22 Times the Legal Limit in Jeonse Brokerage Fees

A city councilor from Bucheon has been fined 5 million won for collecting brokerage fees exceeding the legal limit by 22 times during a jeonse contract.

A city councilor in Bucheon, South Korea, was sentenced to a fine of 5 million won for violating the Real Estate Brokerage Act by charging brokerage fees that were 22 times above the legal cap during a jeonse contract for a villa. The sentencing took place at the Incheon District Court, where the judge highlighted the councilor's actions as significantly detrimental to the order of real estate brokerage, resulting in a severe penalty despite considering the lack of previous offenses and the complexity of the case. Furthermore, while the councilor faced multiple charges, the court found insufficient evidence for some allegations, leading to a mixed verdict. The case centers around the councilor, identified only by the initial 'G', who reportedly earned over 11 million won in fees from a tenant for a contract where the legal limit was just under 500,000 won. This contract was for a villa located in Wonjong-dong, which the tenant later faced issues with, as they fell victim to real estate fraud carried out by the property owner. The implications of this case extend beyond just the councilor, raising concerns about the integrity of public officials in real estate transactions and the potential for consumer exploitation in the South Korean housing market. The prosecution had sought a more severe penalty of one year in prison during the trial, emphasizing the seriousness of the councilor's actions. However, the final judgment was a monetary penalty, which suggests a focus on restitution rather than imprisonment in this case. This decision indicates a trend in dealing with white-collar crimes, where fines may replace custodial sentences, but also serves as a warning to others engaging in similar exploitative practices in the industry.

📡 Similar Coverage