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HDC Hyundai Development Company's construction license is at risk of being canceled due to the collapse of the building that it was putting up in Gwanju. The Korean government is recommending the license revocation as the heaviest punishment it can level against the company.
South Korea's Ministry of Land, Infrastructure and Transport affirmed on Monday that it could nullify HDC Group's construction unit's license over the fatal accident where at least six construction workers have died. An apartment building is being built by the company in Gwanju and in January of this year, part of it had collapsed.
According to The Korea Times, the construction site is located 330 kilometers away from Seoul. At the time of the collapse, it was said that people were on the building's 28th to 34th floors.
In any case, the country's MOLIT expelled concerns that the license revocation penalty could become ineffective if the construction company sets up a new firm to continue with its projects. The ministry said that it will not allow this to happen to make sure the company will carry out the punishment.
"We have asked the Seoul Metropolitan Government to seek the strongest possible administrative order for HDC Hyundai Development Company, given the gravity and extent of the case," an official of MOLIT said during a press conference. "The ministry will be directly involved in the punishment of builders that cause casualties. We will strengthen construction safety to prevent accidents similar to this in the future."
The Gwangju Metropolitan Police Agency is also set to invite Yu Byoung Gyu, HDC's chief executive officer, for questioning regarding the personnel management's negligence at the construction site. It was added that the police also booked at least 20 people who were deemed responsible for the collapse.
Of the six people who were arrested, three of them were HDC employees, and two were from the company's partners. HDC vowed to put more effort into improving the safety of its workers and preventing on-site accidents.
Meanwhile, Pulse News reported that HDC's license suspension could last for a year. The Ministry of Land, Infrastructure, and Transport has already asked the Seoul Metropolitan Government to apply the most severe penalty based on relevant laws and regulations.
