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ENFORCEMENT DECREE OF THE ACT ON THE ESTABLISHMENT AND OPERATION OF PRIVATE CORRECTIONAL INSTITUTIONS, ETC.

Presidential Decree No. 16996, Nov. 9, 2000

Amended by Presidential Decree No. 18312, Mar. 17, 2004

Presidential Decree No. 21095, Oct. 29, 2008

Presidential Decree No. 21710, Sep. 3, 2009

Presidential Decree No. 27617, Nov. 29, 2016

 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters delegated by the Act on the Establishment and Operation of Private Correctional Institutions, etc. and matters necessary for the enforcement thereof.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 2 Deleted. <by Presidential Decree No. 21710, Sep. 3, 2009>
 Article 3 Deleted. <by Presidential Decree No. 21710, Sep. 3, 2009>
 Article 4 (Conclusion of Outsourcing Contracts, etc. )
(1) An outsourcing contract under Article 4 (1) of the Act on the Establishment and Operation of Private Correctional Institutions, etc. (hereinafter referred to as the “Act”) shall be concluded by an agreement between the Minister of Justice and a trustee selected under Article 3 (2) for matters under each subparagraph of Article 5 (1) of the Act, and signing and sealing the relevant contract, respectively.
(2) The Minister of Justice may prepare a standard contract concerning civil outsourcing of correctional services in order to prevent the ommission of details of the contract, and maintain the consistency of provisions of the contract, and enhance the efficiency and fairness in conclusion of the contract when concluding the outsourcing contract.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 5 (Modification of Articles of Association of Correctional Corporations)
“The insignificant matters as prescribed by Presidential Decree” in the proviso to Article 10 (2) of the Act means any of the following matters:
1. Name;
2. Location of the office;
3. Matters concerning notification and its means.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 6 (Term of Officers of Correctional Corporations)
(1) The term of officers of a correctional corporation shall comply with the provisions as prescribed by articles of association of the relevant corporation, and shall be three years if the articles of association have not particularly defined the term, and the officers may be reappointed.
(2) A correctional corporation shall fill a vacancy within two months from the date on which the relevant reason occurs when there is a vacancy among the directors (only limited to directors dedicated to business entrusted: hereinafter the same shall apply in this Article) or auditors of the relevant corporation.
(3) The Minister of Justice, when deemed it unlikely to accomplish the purpose of the relevant correctional corporation or likely to cause damage thereto because the correctional corporation has not filled the vacancy of a director under paragraph (2), may appoint temporary directors, upon a request from relevant persons or ex officio.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 7 (Duties of Officers)
(1) The representative of a correctional corporation shall represent the correctional corporation, and take overall control of the operation of the corporation.
(2) While a person predetermined by the articles of association shall execute the duties by proxy if a vacancy occurs in the position of the representative or the representative is unable to perform any of his/her duties due to any unavoidable reason, the person elected among the director shall execute the duties by proxy if not particularly defined in the articles of association
(3) Directors shall deliberate on and decide the matters concerning the operation of a correctional corporation, attending a meeting of the board of directors, and handle the matters delegated by the board of directors or representative.
(4) An auditor shall perform the following duties:
1. Auditing the property situation and accounts of an correctional corporation;
2. Auditing matters concerning the operation of the board of directors and the affairs thereof;
3. Reporting the results to the board of directors and the Minister of Justice if he/she has found illegalities or irregularities after finishing the audit under subparagraph 1 or 2;
4. Requesting a convocation of a meeting of the board of directors to make a report under subparagraph 3;
5. Stating his/her opinion to the representative or directors for the property situation of correctional corporation or matters concerning operation of the board of directors and the affairs thereof.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 8 (Meetings of Board of Directors, etc.)
(1) The representative shall convoke meetings of the board of directors, and be the chairperson thereof.
(2) The board of directors shall deliberate on and decide the following matters:
1. Matters concerning budget, closing accounts, loan, and acquisition and disposition of the properties of a correctional corporation;
2. Matters concerning the modification of articles of association;
3. Matters concerning merger or disband of correctional corporations;
4. Matters concerning appointment and dismissal of directors;
5. Matters concerning appointment and dismissal of a head of a private correctional institution to be operated by the relevant correctional corporation and employees defined in the articles of association;
6. Important matters concerning handling affairs entrusted;
7. Other matters included in his/her authority under the Act or Decree, or the articles of association.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 9 (Partition of Property etc.)
(1) Property falling under any of the followings among the property of correctional corporations shall be fundamental property under Article 14 (1) of the Act:
1. Real estate (limited to property to be used as financial resources necessary for performance of affairs entrusted and to be provided therefor in the outsourcing contract);
2. Property deemed to be fundamental property by the articles of association;
3. Property included in the fundamental property in accordance with a resolution by general meeting or the board of directors;
4. Reserve fund among the surplus of balance after settlement of accounts.
(2) Property, other than those under each subparagraph of paragraph (1), among the property of correctional corporations, shall be ordinary property.
(3) The fundamental property under paragraph (1) shall cover the financial resources necessary for purchase of the site, design and construction of a correctional institution, juvenile correctional institute or detention house and branches thereof (hereinafter referred to as “correctional institution, etc.”) and the costs incurred in relation to education of employees and indemnification for damage, etc.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 10 (Disposition of Fundamental Property)
The insignificant matters in the proviso to Article 14 (2) of the Act mean any of the following matters: Provided, That this shall not apply where it splits the fundamental property for the purpose of avoidance of permission in accordance with the main sentence of Article 14 (2) of the Act, or violates the Act, this Decree or related Acts and subordinate statutes:
1. Sale, donation, exchange, change of usage or offering a security of fundamental property of not exceeding 50 million won;
2. Imposition of obligations or waiver of rights of not exceeding 50 million won.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 11 (Scope of Non-disposable Property)
Property, which a correctional corporation shall not sell, donate, or exchange, or offer a security to persons, other than the State or other correctional corporations, under Article 14 (3) of the Act shall be the property directly used for confinement facilities, such as correctional institutions falling under any of the following:
1. Site of a correctional institution, etc. (including playground);
2. Confinement buildings;
3. Workspace (including materials warehouses and job training facilities);
4. Visiting room and facilities ancillary thereto;
5. Cookhouse and facilities ancillary thereto;
6. Welfare facilities of inmates such as a gymnasium, bathhouse, and barbershop;
7. Education and assembly facilities;
8. Office buildings (including offices for precinct operation);
9. Other facilities and equipment, security equipment, and teaching materials and aids.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 12 (Revenue and Expenditure of General Accounts and Accounts for Correctional Labors)
(1) Revenue of general accounts among accounts concerning establishment and operation of private correctional institutions under Article 15 (2) of the Act shall be the following income:
1. Operation cost of a correctional institution paid by an outsourcing contract;
2. Money transferred from other accounts;
3. Interest income incurred from operation process of general accounts;
4. Income generated from selling disused articles, such as facilities and equipment of correctional institutions, etc.;
5. Loan allocated for expenditure of general accounts;
6. Other income not included in other accounts, as income of correctional institutions.
(2) Expenditure of general accounts shall be the following costs:
1. Labor costs and costs for goods affordable for operation of correctional institutions, etc.;
2. Costs for facilities and equipment directly necessary for correctional operations, such as management of confinement, and correction and edification;
3. Repaid principal and interest accrued therefrom of loan under paragraph (1) 5;
4. Other costs necessary for correctional operation, such as management of confinement, and correction and edification.
(3) Income of accounts of correctional labor among accounts concerning establishment and operation of private correctional institutions under Article 15 (2) of the Act shall be the following income:
1. Loan to cover expenditure of accounts for correctional labors;
2. Money transferred from general account;
3. Other various income in accordance with correctional labors.
(4) Expenditure for accounts of correctional labor shall be all costs necessary for the correctional labor.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 13 (Submission of Budget and Settlement of Accounts, etc.)
(1) A correctional corporation shall submit the business plan and budget of accounts concerning establishment and operation of a private correctional institution under Article 15 (2) to the Minister of Justice, in accordance with Article 16 (2) of the Act at least eight months before every fiscal year begins, and submit the results of business and the settlement of accounts within two months after every fiscal year ends.
(2) A correctional corporation shall submit the relevant budget within 15 days from the date he/she adds or rectifies the relevant accounts when adding or rectifying those in the relevant year.
(3) The scope of correctional corporations required to submit a certificate of audit by a certified public accountant, etc. under Article 16 (3) of the Act shall be as follows:
1. A correctional corporation establishing and operating a correctional institution having confinement capacity of at least 300 persons in the relevant fiscal year;
2. A correctional corporation which has confinement capacity of less than 300 persons in the relevant fiscal year specially deemed necessary for submission of a certificate of audit to the Minister of Justice because the corporation has breached account rules by accounting fraud, false preparation, and other significantly illegal accounting, etc.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 14 (Criteria for Facilities of Private Correctional Institutions, etc.)
(1) Correctional institutions, etc. established and operated by a correctional corporation shall have facilities as the followings except where the outsourcing contract differently defines therein, in consideration of the characteristics of subjects for entrusted confinement:
1. Living rooms and confinement buildings;
2 Workplace and job training facilities;
3. Visiting room and facilities ancillary thereto;
4. Education and assembly facilities;
5. Health and medical facilities;
6. Playgrounds;
7. Cookhouse and facilities ancillary thereto;
8. Welfare facilities for inmates, such as bathhouses and barbershops, etc.;
9. Other facilities defined by the outsourcing contract.
(2) No correctional corporation shall establish the symbolized objects of a specific religion in a place where the inmates may always enter or approach in the facilities of the correctional institution operated by the corporation, except for a place prepared for holding religious events under Article 45 of the Administration and Treatment of Correctional Institution Inmates Act: Provided, That this shall not apply if the Minister of Justice has particularly approved those within the scope which does not breach the neutrality of the state and the balance between religious sects.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 15 (Treatment of Inmates)
(1) Neither head nor employees of a private correctional institution shall force inmates to attend education, edification, ceremonies and other events in accordance with the doctrine and dogma of a specific religion.
(2) Neither head nor employees of a private correctional institution, etc. shall treat inmates unfavorably on grounds that they do not believe a specific religion
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 16 (Scope of Appointment and Dismissal of Employees)
The employees as prescribed by Presidential Decree in the proviso to Article 29 (1) of the Act refer to employees whose grades are at least the division chief of a division formed in a correctional institution under service regulations of the Ministry of Justice and relevant agencies in his/her jurisdiction.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 17 (Qualifications for Appointment of Employees)
(1) The qualifications for appointive employees of private correctional institutions, etc. under Article 29 (3) of the Act shall be as follows:
1. Persons of at least 18 year old;
2. Persons meeting body conditions prescribed by Ordinance of the Ministry of Justice.
(2) A correctional corporation shall report the appointment within ten days when he/she has appointed employees to the Minister of Justice. The same shall apply when employees of a private correctional institution, etc. have been retired.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 18 (Job Training)
(1) A correctional corporation shall order a person appointed as an employee of a correctional institution, etc. to have job training necessary for the performance of duties in the self-educational institution or the educational institution for correctional officials before allocating them in the correctional institution, etc.: Provided, That he/she may cause the person to undergo job training within one year after such appointment if deemed unavoidable for an eduction plan of the self-educational institution or the educational institution for correctional officials.
(2) If persons who have retired after working as a correctional official or an employee of a private institution, etc. is appointed to a private correctional institution as an employee within two years after retirement, the education under paragraph (1) may be exempted. <Amended by Presidential Decree No. 27617, Nov. 29, 2016>
(3) Period of job training, training subjects, hours of job training, and other necessary matters for conduct of the training shall be determined by the Minister of Justice.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 19 (Duties of Employees)
The employees of private correctional institutions shall perform the duties within the scope of the outsourcing contract defined by among the duties under the Administration and Treatment of Correctional Institution Inmates Act.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 20 (Dismissal by Authority)
(1) A correctional corporation may dismiss an employee of a private correctional institution by authority when the employee is unable to manage the duties due to physical or mental disorder or the capacity is exceeded due to personnel reduction.
(2) A correctional corporation shall report the fact to the Minister of Justice within five days when he/she has dismissed an employee of a private correctional institution, etc. by authority.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 21 (Disciplinary Measures)
(1) A correctional corporation shall take a disciplinary measure against the employee of a private correctional institution, etc. in any of the following cases:
1. Where he/she has received the order of a disciplinary measure under Article 36 (1) of the Act;
2. Where he/she has violated the provisions of the Act and this Decree or the order thereof;
3. Where he/she has violated the obligations of duties or neglected the duties;
4. Where he/she has brought disrepute.
(4) While the kinds of disciplinary measures against an employee of a private correctional institution, etc. shall be dismissal, suspension of duties, reduction of salary, and reprimand, no employee shall engage in duties for a period of at least one month and not more than three months, reducing two thirds of his/her salary during the suspension of duties and one third of his/her salary shall be reduced for a period of at least one month and not more than three months, during reduction of salary.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 22 (Report)
(1) The head of a private correctional institute, etc shall report the matters under subparagraphs 1, 2, 4, and 6 through 8 of Article 34 (1) of the Act to the Minister of Justice every month.
(2) The head of a private correctional institute, etc shall report the matters under subparagraphs 3, 5, and 9 of Article 34 (1) of the Act to the Minister of Justice every quarter year.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 23 (Security of Indemnification for Damage)
A correctional corporation shall deposit cash or securities of at least one hundred million won or insure himself/herself to performance guarantee for indemnification for damage under Article 38 (1) of the Act.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
 Article 24 (Criteria for Imposing Fines for Negligence)
Criteria for imposing fines for negligence under Article 44 (1) of the Act shall be classified as follows:
1. When falling under subparagraphs 1, 4, and 6 of Article 44 (1) of the Act: Fines for negligence not exceeding ten million won;
2. When falling under subparagraphs 2, 3, and 5 of Article 44 (1) of the Act: Fines for negligence not exceeding five million won.
[This Article Wholly Amended by Presidential Decree No. 21710, Sep. 3, 2009]
ADDENDUM <Presidential Decree No. 16996, Nov. 9, 2000>
This Decree shall enter into force on July 1, 2000.
ADDENDUM <Presidential Decree No. 18312, Mar. 17, 2004>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 21095, Oct. 29, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on December 22, 2008.
Articles 2 and 3 Omitted.
ADDENDUM <Presidential Decree No. 21710, Sep. 3, 2009>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 27617, Nov. 29, 2016>
Article 1 (Enforcement Date)
This Decree shall enter into force on November 30, 2016.
Articles 2 though 5 Omitted.