The ruling People Power Party (PPP) and the government will push to legislate a special law to support victims of home rental scams, a party official said Sunday.
The party and the government plan to propose the legislation bill this week, Rep. Park Dae-chul, the PPP's chief policymaker, said following a consultative meeting with government officials.
In recent months, three cash-strapped tenants have taken their own lives in the city of Incheon, 27 kilometers west of Seoul, in the wake of a massive home rental scam, sending the government scrambling to find remedies.
Under the scam, the mastermind, surnamed Nam, rented highly collateralized homes to victims for deposits worth tens of millions of won. The homes ended up being put up for auction, as Nam failed to repay debts to financial institutions, leading to victims facing eviction without getting their deposits back.
Similar rental scams have been reported elsewhere.
The envisioned temporary law will be designed to give rental scam victims the priority right to purchase the affected homes that end up being put up for auction, as well as providing them with low-interest loans and tax benefits, Park said.
The state land development agency, Korea Land and Housing Corp., and other public agencies will also be allowed to buy up affected homes to help victims retain their current home tenancy, Park also noted.
"The party will also push for a revision of the specific economic crimes act so that landlords and others responsible for rental scams can be sternly and quickly investigated, and punished with aggravated penalties," Park said.
Source: Yonhap News Agency