On the 22nd, the Korea Land and Housing Corporation (LH) announced that it would introduce a leniency system to eradicate bid rigging in the construction industry and establish a fair competitive order.
The "leniency system" is a system that reduces or exempts penalties for corporations that voluntarily report their involvement in collusion, according to the Monopoly Regulation and Fair Trade Act and related laws. It is effective in preventing collusion in advance by encouraging internal reporting within cartels.
LH plans to reduce or exempt the qualification for bidding participants in accordance with the National Contract Act if bid rigging is reported in advance using the leniency system.
Specifically, this applies when, according to the Fair Trade Act, ▲ exempted from corrective measures ▲ exempted or reduced penalty surcharges ▲ both corrective measures and penalty surcharges are imposed, even if the penalty surcharge is exempted or reduced.
LH President Lee Han-jun said, "Creating an environment that allows for transparent and fair competition is also a significant responsibility of public institutions," and noted, "We will continue to strive to establish a fair bidding culture by preparing various institutional devices, including the leniency system."