Gyeonggi Province, together with its 31 cities and counties, will conduct a joint crackdown on illegal circulation of the Gyeonggi local currency from November 11 through December 7.
A joint inspection team will first examine suspicious merchants based on cases flagged by the Fraud Detection System (FDS) as suspected illegal transactions and reports received by the illegal circulation reporting center.
Key targets of the crackdown include wrongful receipt and illegal exchange practices, such as accepting or exchanging local currency without any sale of goods or provision of services; use of local currency at restricted businesses such as gambling industries and entertainment establishments; refusal to accept local currency payments; and refusal to issue cash receipts.
Authorities urged special caution, as violations of Articles 8 and 10 of the Local Love Gift Certificate Act may result in penalties including cancellation of merchant registration by the city, on-site guidance, imposition of fines, and recovery of wrongfully received amounts.
"Gyeonggi Province will continue to strengthen its crackdown efforts to ensure fair operation of the local currency," said Namgung Woong, director of the Regional Finance Division at Gyeonggi Province. "We hope this inspection will serve as an opportunity to prevent illegal circulation and enhance the function of the local currency."
