<Anchor> It
was revealed that 10 LH employees used inside information to purchase dozens of houses in a planned redevelopment site in Seongnam, Gyeonggi Province, and made more than 15 billion won in profit. One LH employee and two real estate agents were arrested, and the police applied for confiscation protection so that the property could not be disposed of at will.
This is reporter Jeong Ban-seok.
<Reporter>
Sinheung 1-dong and Sujeong 1-dong, Sujeong-gu, Seongnam-si, which were designated as redevelopment and maintenance areas at the end of last year.
Mr. A, who was in charge of the redevelopment project at the LH Seongnam Regeneration Project Group since February 2016, started speculating with inside information that this area would be developed.
I even invited two real estate agents from Gangnam, whom I knew, and started real estate purchases.
In addition, development information was handed over to nine colleagues, including senior LH executives, to increase the scale of speculation.
From September 2016 to June 2020, they invested about KRW 9.2 billion to purchase 43 villas and multi-family houses.
As they were designated as maintenance areas, the price of these properties increased nearly threefold to about KRW 24.4 billion, leaving a profit of over KRW 15 billion.
[Nearby real estate agent: If I bought it in 2016, I bought it for 200 million, but now it is almost 700 million or more. It is more than 250%.] The
police arrested Mr. A and two real estate agents on charges of violating the so-called 'Anti-Corruption Act', and booked nine former and current LH employees who participated in speculation.
They also applied for confiscation protection before indictment so that they cannot dispose of the real estate they bought as speculation.
(Video coverage: Jeil Kim Hyun-sang, video editing: Park Soo-seon, CG: Kim Jong-un)