Man in his 30s, running an illegal shared lodging business near Gwangalli Beach.

Court sentenced to 1 year in prison and 2 years probation
Suspected of embezzling 690 million won over 4 years
“Illegal shared accommodations expose risk of safety accidents”

A man in his 30s who made hundreds of millions of won by operating 11 officetels as illegal shared lodging near Gwangalli Beach, Busan's representative tourist destination, was sentenced to probation.

According to the legal community on the 3rd, Judge Beom-yong Lee of Criminal Division 4, Eastern Branch of the Busan District Court sentenced Mr. A (30s), who was indicted on charges of violating the Public Health Management Act, to one year in prison and two years of probation, and ordered him to perform 80 hours of community service.

According to the criminal facts acknowledged by the first trial, Mr. A is suspected of operating 11 officetels in Suyeong-gu, Busan from August 2019 to December 2022 as an illegal shared lodging business without reporting them to the mayor or district head.

Mr. A is known to have earned profits worth 690 million won by operating an illegal shared lodging business for about four years.

The accommodation operated by Mr. A is located right in front of Gwangalli Beach, and is said to have received reservations from guests through an internet accommodation sharing site.

The court ruled, "Mr. A committed this crime again even though he had a history of being criminally punished for the same crime (a fine of 1 million won)," and "Mr. A's guilt cannot be considered light as the period of time he has been in the lodging business is about 4 years and his total sales exceed 690 million won."

If you operate an unreported illegal shared lodging business using an officetel, apartment, or house, you will be punished by up to 2 years in prison or a fine of up to 20 million won under the Public Sanitation Management Act.

There are no separate regulations to punish guests who use this, but there is a risk of exposure to fire, safety accidents, and various crimes.

Attorney Lee Seung-ho of Daeryun Law Firm (Limited) explained, "The Public Health Act and the Tourism Promotion Act only subject to punishment those who operate unreported illegal shared lodging businesses, and there are no provisions in the current law to punish users."

He continued, "However, illegal shared lodging establishments are often not equipped with proper fire safety facilities, so there is a risk of exposure to safety accidents and hygiene problems may arise. Additionally, if damage is actually caused by a safety accident, it may be difficult to receive appropriate compensation or take responsibility."

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