[단독] The more it gets, the more it fights… LH 1st-class contract with 1.7 billion won right after start-up

◆ LH without moral insensitivity ◆

Established in September 2018, Architect A won a design service worth 1.71 billion won from the Korea Land and Housing Corporation (LH) through a private contract. It was only two months after the company was founded. In 2019, the following year, Architect A signed a private contract with LH of 1891.48 million won, and last year, it won three architectural design services from LH for a total amount of 6.58 billion won. Last year, the company’s voluntary contract size ranks in the top 10 among all architectural firms that signed private contracts with LH. Mr. Yoo, the representative of this company, is a person who served as the head of the headquarters (Level 1) at LH. As of the end of last year, 9556 employees are working at LH, with only 78 at the first level. The industry is suspicious of a boost for a startup company founded by a former LH. Nice Evaluation Information According to corporate information, the company’s sales increased from 460 million won in 2018 to 3,223.85 million won in 2019.

The controversy of LH’s’moral hazard (moral hazard)’, which started as employees’ suspicion of speculation on the land of a new city, is spreading to other practices such as courtesy of the whole city. Some of the architectural firms are revealing that if they fail to recruit’LH’s OB (retirees)’, they will be pushed out of the competition for orders. Actually, the Maeil Economic Daily report revealed the behavior of LH’s order contracts, which are suspected of blatantly boosting contracts of billions of won to a new company created by’top 1% LH retirees’.

According to Rep. Song Eon-suk on the 8th, out of the top 20 architectural firms (based on order amount) that won private contracts from LH last year, only 11 of the top 20 architects from LH started the company or took positions as key executives.

Company B, which received the largest number of orders (17.3 billion won) through private contracts with LH last year, is a former vice president of Korea National Housing Corporation, and a former director of LH is also joining as a partner. Company C, which ranked second in LH orders last year, has three joint representatives from Korea National Housing Corporation, the predecessor of LH.

This is a case where the biographies of executives and employees can be searched on the company website. An official in the construction industry said, “Most companies have disclosed data that they have LH graduates for marketing purposes, but there are many cases that have not disclosed externally. said. The remaining 10% of the companies also participate in the order-taking company with the former LH job as a contributor, and it is evaluated that companies with former LH jobs are sweeping the LH architectural design contest and LH construction project management services. Architects are complaining that it is difficult to win orders for companies that do not employ LH employees. This is because most of the companies that are from LH as representatives or hired as high-ranking employees receive service orders.

An architect official said, “If the recruited LH retirees are fired or treated unfairly, rumors will arise within LH, and the company will be virtually removed from the market.” In some cases, they were pushed out of the office and couldn’t win a single order,” he said.

It is said that the industry is overheating before recruiting LH retired employees due to the blatant practice of ‘total respect’. The annual salary given to them is known to range from 150 million won to 250 million won. An official in the construction industry said, “After a company specializing in architectural design only hired a former LH job in a related job, there were cases where it suddenly received an order for a construction project management business.” “We are not able to get out of the order cliff,” he explained.

LH retirees’ issue of ‘total courtesy’ has recently been re-examined within the LH organization. It is in the process of sharing problems within the organization through an anonymous bulletin board over the recent suspicion of land speculation in a new city. An LH employee in the office worker application (app) blind explained, “There is a practice of driving all types of construction contracts and bidding to courtesy,” and “this increases the cost of apartment prices.” Rep. Song Eon-suk said, “Amid the great shock of the Republic of Korea due to the speculation of the land of LH employees, the anger of the public has reached its peak as the situation that LH has been driving tens of billions of won through the public courtesy “LH, which was devoted to being called only their ships, must be completely renovated,” he said.

※ We receive reports of alleged land dumping by employees of Korea Land and Housing Corporation (LH). Please send it to estate2@mk.co.kr.

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