The Presidential Committee on Policy Planning has selected measures for the relief of victims of rental fraud as a matter for prompt implementation. The policy aims to ensure that small tenants of affected dwellings secure priority repayment rights to reduce losses. The Korea Land & Housing Corporation (LH) will also support the swift acquisition of affected dwellings through auctions and public sales.
Park Hong-geun, a member of the Democratic Party and head of the planning subcommittee of the Presidential Committee, said on the morning of the 18th at the Government Seoul Complex's Changseong-dong annex, "The measures against rental fraud that threaten citizens' property and homes, and trample on the dreams and hopes of future generations, will be pursued as a matter for prompt implementation," adding that "support measures that can provide practical assistance to victims are needed."
The committee proposed measures against rental fraud, including ▲relief for the highest priority repayment for small tenants ▲swift acquisition of affected dwellings by LH ▲investigation into the rights related to trust fraud ▲and transparency of the results of victim relief applications. The committee plans to revise the Housing Lease Protection Act and the Special Act on Rental Fraud in consultation with the Democratic Party to implement these measures.
Park noted, "Current regulations are based on the establishment date of the first collateral, which does not align with reality," and added, "We will immediately propose an amendment to the Housing Lease Protection Act to change the judgment criteria for small tenants to the point of the lease contract, thereby providing relief for unjust victims."
He emphasized, "Since November of last year, LH has been purchasing affected dwellings through auctions and public sales under the special law, and we will increase the speed of using the auction profits to assist victims. However, for dwellings that violate building laws, the acquisition period is lengthened due to local government review, so we will revise the Special Act on Rental Fraud to shorten the acquisition period from 7 months to 3 months."
Commissioner Lee Jeong-heon, a member of the economic subcommittee of the Democratic Party, said, "Trust fraud affected dwellings have complex rights relations, and there have been no actual acquisition cases by LH to date," adding, "We will immediately begin a factual investigation related to trust fraud in August or September, and in cases of sales by trust companies, LH will be prioritized for consultation."
He added, "For victims who have applied for relief but have not received a decision, we will provide detailed explanations of the review results to enhance transparency," and stated, "Starting in October, victims will receive satisfactory explanations through system improvements."