The Supreme Court delivered a final ruling on the 16th, stating that "the former mayor and The Korea Transport Institute (KOTI) are recognized as responsible" in the damage compensation lawsuit filed by residents against the former mayor and The Korea Transport Institute (KOTI), which was related to the controversy over the "1.4 trillion won tax waste" in the Yongin Light Rail project.
However, the Supreme Court decided to remand the case, noting that the individual responsibilities of researchers affiliated with the transport institute regarding unlawful activities that violate social norms need to be reconsidered in detail.
Previously, the Seoul High Court ruled in February last year that "the current mayor of Yongin should claim a total of 21.468 billion won in damages from the former mayor, the transport institute, and the individual researchers affiliated with it."
This case originated from a business agreement signed in 2004 between Yongin City and Bombardier Consortium, the construction company for the light rail. The agreement included a provision that Yongin City would guarantee a minimum income of 90% of the demand forecast. The Korea Transport Institute (KOTI) submitted a report estimating that the expected daily traffic demand for the Yongin Light Rail would be 139,000 passengers.
The issue was that if the demand during the light rail operation turned out to be less than expected, Bombardier would receive the guaranteed minimum income while Yongin City would face the risk of losses. In fact, the demand on the first day of operation in 2013 reached only 9,000 passengers. This figure did not even reach one-fifth of the transport institute's forecast of 27,000 passengers in 2017.
In response, some Yongin citizens filed a damage compensation lawsuit, claiming that Yongin City suffered a loss of 1.032 trillion won against former mayors, relevant civil servants, The Korea Transport Institute (KOTI), and individual researchers affiliated with the institute.
The lawsuit produced partial victories for the plaintiffs in both the first and second instances. It was recognized in the second instance that the Yongin City's policy officer caused a loss of 1.025 billion won by hindering a fair bid process for the selection of a law firm.
However, the Supreme Court decided in July 2020 that "the former mayor of Yongin, The Korea Transport Institute (KOTI), and individual researchers affiliated with the institute could be held liable for damages."
Accordingly, the Seoul High Court ruled in February last year that "the current mayor of Yongin should claim a total of 21.468 billion won from the former mayor, the transport institute, and the individual researchers affiliated with it as compensation to Yongin City."
Subsequently, the case was brought back to the Supreme Court, which on that day recognized "the responsibilities of the former mayor and the transport institute," while also stating that "the individual responsibilities of researchers affiliated with the transport institute should be reassessed based on whether there were unlawful activities that violate social norms."
Whether individual researchers affiliated with the transport institute should bear responsibility for damages will be examined in the forthcoming remand trial at the Seoul High Court.