The reward for reporting fraudulent receipt of local subsidies will be raised. The additional monetary sanctions imposed on fraudulent recipients will also increase to up to eight times.
On the 19th, the Ministry of the Interior and Safety said it prepared a plan titled "Measures to strengthen management of fraudulent receipt of local subsidies" with this content at its core.
Under the plan, the reward for reporting fraudulent receipt of local subsidies will change from 30% of the ordered refund amount for fraudulent receipt to 30% of the actual amount recovered, including additional monetary sanctions. For example, if a local government ordered a fraudulent recipient to return 1 million won and imposed 5 million won in additional monetary sanctions, the reporting reward would increase from 300,000 won to 1.8 million won.
At the same time, the Ministry of the Interior and Safety (MOIS) raised additional monetary sanctions from up to five times the ordered refund amount to eight times. In addition, to promptly carry out administrative measures such as confirming fraud, canceling grants, and issuing refund orders, a "committee for deliberation on fraudulent receipt of local subsidies" will be established for each local government.
The Ministry of the Interior and Safety (MOIS), together with local governments, will conduct on-site inspections of fraudulent receipt of local subsidies and special joint inspections through the end of the year.