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5. Kim Young-ran Antigraft Law Goes into Effect

2016-12-29

Kim Young-ran Antigraft Law Goes into Effect



South Korea’s society saw major changes with the effectuation of the so-called Kim Young-ran antigraft law in September.

The enactment of the law was first pushed by Kim Young-ran, who was the head of the Anti-Corruption Civil Rights Commission in 2011. However, due to differences in opinion within the government, it was only by July 2013 that the government submitted to the National Assembly a bill seeking the passage of the law. The bill stirred up controversy in the parliament and ended up being passed in March 2015 only after corruption involving government officials and businesspeople emerged as a serious issue in the wake of the 2014 Sewol ferry sinking.



The law took effect on September 28th after a grace period.

The law applies to civil servants, employees of public institutions or public service-related organizations, teachers and journalists.

Such people will face criminal punishment if they receive money or valuables worth more than one million won at one time, or receive money or valuables worth more than three million won in a year from the same person.

The law makes it illegal for such people to be treated to a meal worth more than 30-thousand won and receive a gift worth more than 50-thousand won. Receiving traditional cash gifts to weddings and funerals are limited to 100-thousand won.



The law has brought about significant changes to the way civil servants do business and dine with others. Restaurants located near public organizations have come up with so-called Kim Young-ran menus that offer dishes costing less than 30-thousand won.

Overall, restaurants have been hit hard by the law while consumption of flowers and livestock products, which were popular as gifts among civil servants, has declined sharply. Some observers say that the law largely affected the latest worsening slump in consumption.




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