Seoul City has launched disciplinary action against HDC Hyundai Development Company regarding the fatal collapse of a building just before demolition in Gwangju last year.

According to the land ministry and city officials on Thursday, Seoul metropolitan government, as HDC's registered municipal office, notified the builder in advance of an eight-month business suspension for the incident, requesting its response.

The notification was issued on January 12, a day after the facade of a 39-story apartment building under construction by the company in Gwangju collapsed, leaving one worker dead with five others still missing.

The Gwangju city government had requested that Seoul City issue the business suspension. The building collapse in June last year claimed the lives of nine people while injuring eight others.

Once Hyundai delivers its position, the Seoul city government plans to hold a public hearing, before finalizing its administrative punitive action by mid-February.

Meanwhile, Land Minister Noh Hyeong-ouk earlier suggested seeking the toughest penalty against the country's ninth-largest builder by revoking its registration.