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Yongin City Identifies 8 Contractors Failing to Meet Public Construction Bidding Standards

Eight companies excluded from bidding following investigation of 42 contractors since May 1
Officials checking compliance of public construction bidding contractors. (Photo=Yongin City)
Officials checking compliance status of public construction bidding contractors. (Photo=Yongin City)

[Suwon Ilbo=Park Noh-hoon] Yongin City announced on the 1st that through 'advance enforcement actions on public construction bidding contractors,' it identified 8 companies failing to meet public construction bidding standards and excluded them from bidding.

This action was taken because some companies, such as 'paper companies' that met registration requirements only on paper, frequently caused problems including poor construction despite having insufficient assets and technical capabilities to bid at low prices, as well as wage payment defaults.

In response, the city has investigated 42 companies that participated in bidding over a four-month period beginning May 1.

The city initially investigated top-ranked bidding contractors for government-funded construction projects with contract amounts between 80 million and 100 million won. Subsequently, the investigation scope was expanded to construction projects with contract amounts between 20 million and 200 million won.

As a result of the investigation, one company received a five-month business suspension penalty, and proceedings are underway for seven other companies.

The city plans to strengthen investigative personnel and continue combining guidance with enforcement measures.

A city official stated, "If sound contractors succeed in securing projects through fair competition, the quality of construction in the public sector can be improved," and added, "We will develop supplementary measures to establish a system that enables fair competition."

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