A General Probe into Deposit Funds, Monthly Housing Rental Charges and Institution Fees

The Government decided to launce a general probe, jointly with consumer organizations, into deposit funds and monthly housing rental charges in 8 areas including Kangnam in Seoul, Bundang, Ilsan, and Kwacheon, where there are signs of escalating real estate price.

The Government also plans to conduct an intensive probe into institutions in 36 cities such as Seoul, Pusan, and Kwangju to prevent institutions raising their fees illegally or abnormally before a fresh term.

On the 25th, the Ministry of Finance and Economy (MFE) announced that MFE plans to investigate the actual conditions in cooperation with consumer organizations to stop related businessmen from unreasonably raising the price of living necessaries including deposit funds, monthly housing rental charges, institution fees, meal cost and lodging charge, and gas price.

The MFE will give 1.5 billion won to 10 consumer organizations such as the Korean Federation of Homemakers Clubs, Green Consumers Network in Korea, Consumers Union of Korea to support these organizations` investigation.

Firstly, from the 4th of February to the 6th, the Korea National Council of Consumer Organizations (KNCCO) plans to intensively investigate the deposit funds, monthly housing rental charges and the price of apartment transactions of 20-30 pyong large apartments in 8 areas including Kangnam area in Seoul, Bundang, Ilsan, Uiwang, Jungdong, Pyongchon, Sanbon and Kwacheon in Kyonggi-do.

From February to the beginning of March, KNCCO will investigate whether the institutions in 36 cities receive higher tuitions than they report and whether they consult with each other about the tuition fees.

There is also a plan to intensify the monitoring of restaurants, inns and hotels before the World Cup from April through May, and to probe into exorbitant prices for beachfronts during vacation. Around Ch`usok and New Year`s Day, KNCCO will keep watch on the cost of living necessaries like ritual food and the raising the gas price after consulting with each other in gas stations.

Chan-Sun Hong hcs@donga.com