Daewoo E&C received a business suspension for civil engineering and building construction after a large sinkhole formed next to an apartment complex in Seoul's Geumcheon District.
On the 16th, Daewoo E&C disclosed that it received a two-month business suspension for civil engineering and building construction from the Seoul Metropolitan Government over a retaining wall collapse at an officetel construction site in Gasan-dong, Geumcheon District.
Earlier, on Aug. 2018, the ground around the Gasan-dong officetel construction site caved in, measuring 30 meters wide, 10 meters long, and 6 meters deep. About 200 residents of a nearby apartment building evacuated because of the incident.
After the incident, Geumcheon District reported Daewoo E&C, the contractor for the Gasan-dong officetel, to police. The district said poor construction management damaged key public facilities and caused harm to the public.
The suspension starts on Jan. 23 next year.
Daewoo E&C said it plans to respond by filing for a stay of execution of the administrative disposition and a lawsuit to cancel the disposition, adding that business operations will not be affected until a ruling is issued.