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ACT ON ASSISTANCE TO THE 2010 FORMULA 1 KOREAN GRAND PRIX

Act No. 9789, Oct. 9, 2009

Amended by Act No. 10272, Apr. 15, 2010

Act No. 11786, May 22, 2013

Act No. 12687, May 28, 2014

Act No. 13726, Jan. 6, 2016

Act No. 14839, Jul. 26, 2017

CHAPTER I GENERAL PROVISIONS
 Article 1 (Purpose)
The purpose of this Act is to promote national sports and foster the tourism industry and industries related to motor vehicles by supporting successful hosting of the Formula One International Motor Races (hereinafter referred to as the "Races"), thereby contributing to the national development.
 Article 2 (Definitions)
In this Act, the term "racing facilities" means the following facilities:
1. Racing circuit facilities;
2. Essential facilities incidental to the racing circuit;
3. Training facilities for drivers;
4. Dormitories for drivers, organizers, and other participants in the Races;
5. Infrastructure for the Races, including access roads to the racing circuit;
6. Other facilities prescribed by Presidential Decree as those deemed necessary for hosting and operating the Races.
 Article 3 (Relationships with Other Acts)
As regards the provisions applicable to projects related to the installation and use of racing facilities, this Act shall prevail over other Acts.
CHAPTER II ORGANIZATIONAL COMMITTEE
 Article 4 (Establishment of Organizational Committee)
(1) The Organizational Committee of the Formula One International Motor Races (hereinafter referred to as the "Organizational Committee") shall be established, upon authorization from the Minister of Culture, Sports and Tourism, in order to implement the following projects and activities for preparing for and successfully hosting the Races: <Amended by Act No. 11786, May 22, 2013>
1. Establishment of a comprehensive plan for the Races and establishment and implementation of a detailed operational plan;
2. Establishment and implementation of a plan for the installation and use of racing facilities;
3. Cooperation with the international sports organization hosting the Races and other relevant organizations;
4. Other affairs necessary for the preparation and operation of the Races.
(2) The Organizational Committee shall be a legal entity.
(3) The Organizational Committee shall have a chairperson, vice chairpersons, executive members, and auditors as its executives and shall have an executive committee for the efficient execution of the businesses of the Organizational Committee.
(4) Matters concerning the full number of executives under paragraph (3), terms of office and the method of election for such executives, and the organization and functions of the executive committee shall be stipulated in its articles of association.
(5) When the Minister of Culture, Sports and Tourism finds that it is difficult to implement the intended projects of the Organizational Committee or that the performance of projects related to the Races is poor according to evaluations, he/she may issue an order to make a correction or may cancel the authorization of the Organizational Committee.
(6) Except as otherwise provided in this Act, the provisions applicable to incorporated associations in the Civil Act shall apply mutatis mutandis to the Organizational Committee.
 Article 5 (Support from State and Others)
(1) The Organizational Committee may request the State, a local government, a public institution (referring to a public institution under Article 4 of the Act on the Management of Public Institutions; the same shall apply hereinafter), a legal entity or an organization, to provide administrative or financial cooperation and assistance or other necessary convenience.
(2) The State or a local government may subsidize the budget required for the establishment and operation of the Organizational Committee as well as the preparation for and operation of the Races.
 Article 6 (Establishment, etc. of Fund)
(1) The Organizational Committee shall establish a fund for the Races (hereinafter referred to as the "Fund") in order to finance the installation and operation of the Organizational Committee as well as the preparation for and operation of the Races.
(2) The Fund shall be operated and managed by the Organizational Committee.
(3) The Fund shall be raised from the following sources: <Amended by Act No. 11786, May 22, 2013; Act No. 13726, Jan. 6, 2016>
1. Contributions, subsidies and donations;
2. Loans from funds borrowing under Article 7-2;
3. Proceeds from profitable business under Article 8-2;
4. Proceeds from sports betting tickets allocated to the Organizational Committee under Article 9;
5. Proceeds from the issuance of commemorative coins under Article 10;
6. Proceeds from the outdoor advertising business subsidized to the Organizational Committee under Article 6 (5) of the Act on the Management of Outdoor Advertisements, etc. and Promotion of Outdoor Advertisement Industry;
7. Proceeds from the operation of the Fund;
8. Other proceeds.
(4) The fiscal year of the Fund shall coincide with that of the State.
(5) Other matters necessary for the operation and management of the Fund shall be prescribed by Presidential Decree.
 Article 7 (Loan, etc. of State-Owned or Public Property)
(1) If the State or a local government deems it necessary for the support of the Organizational Committee, it may loan state-owned or public property to the Organizational Committee or permit it to use such property for profit free of charge or transfer office supplies or other materials to the Organizational Committee or permit it to use such materials free of charge.
(2) Details, terms and conditions of the loan, the permission of use for profit, or the transfer, free of charge, under paragraph (1) and the procedure therefor shall be agreed upon between the authorities responsible for the management of the property or materials at issue and the Organizational Committee.
 Article 7-2 (Funds Borrowing, etc.)
(1) Where necessary for the preparation and operation of the Races, the Organizational Committee may borrow funds or obtain supplies (including cases of borrowing funds or obtaining supplies from international organizations, foreign governments and foreigners), upon prior approval from the Minister of Culture, Sports and Tourism.
(2) Where the Organizational Committee borrows funds or obtains supplies from international organizations, foreign governments and foreigners, the Introduction and Management of Public Loans Act or the Foreign Exchange Transactions Act shall apply.
[This Article Newly Inserted by Act No. 11786, May 22, 2013]
 Article 8 (Exemption from Obligation to Purchase Bonds, etc.)
Where the Organizational Committee acquires a movable or immovable asset for its operation and activities, it shall be exempt from the obligation to purchase various bonds, which it shall purchase otherwise pursuant to relevant Acts, in accordance with the practices of state agencies.
 Article 8-2 (Profitable Businesses)
(1) The Organizational Committee may conduct the following profitable businesses, upon prior approval from the Minister of Culture, Sports and Tourism:
1. Selling admission tickets to the Races and events for culture and art related to the Races;
2. Selling relay broadcasting rights and products related to the Races;
3. Leasing facilities for the Races and selling advertising rights;
4. Sports facility business under the Installation and Utilization of Sports Facilities Act;
5. Other businesses related to the Races prescribed by Presidential Decree.
(2) The Organizational Committee may grant part of the funds raised from the profitable businesses to other institutions, legal entities or organizations related to the Races, as prescribed by Presidential Decree.
[This Article Newly Inserted by Act No. 11786, May 22, 2013]
 Article 8-3 (Profitable Business Organization)
The Organizational Committee may set up a department dedicated to the profitable businesses specified in Article 8-2.
[This Article Newly Inserted by Act No. 11786, May 22, 2013]
 Article 9 (Increased Issuance of Sports Betting Tickets)
(1) Where necessary to cover the expenses incurred in preparing for and operating the Races, the Organizational Committee may request the Chairperson of the Korea Sports Promotion Foundation (hereinafter referred to as the "KSPO Chairperson") to increase the volume of sports betting tickets to be issued pursuant to Article 24 of the National Sports Promotion Act.
(2) The KSPO Chairperson shall distribute the proceeds from the increased issuance of sports betting tickets under paragraph (1) to the Organizational Committee on a quarterly basis.
(3) Matters necessary for the increased issuance of sports betting tickets and distribution of the proceeds therefrom under paragraphs (1) and (2) shall be prescribed by Presidential Decree.
 Article 10 (Sales of Commemorative Coins)
(1) The Organizational Committee may request the Bank of Korea to issue commemorative coins in order to cover the expenses to be incurred in preparing for and operating the Races.
(2) The Organizational Committee may exclusively take over commemorative coins issued pursuant to paragraph (1).
 Article 11 (Issuance of Commemorative Stamps, etc.)
The Organizational Committee may request the Minister of Science and ICT to issue commemorative stamps or post cards in order to advertise or commemorate the Races. <Amended by Act No. 11690, Mar. 23, 2013; Act No. 14839, Jul. 26, 2017>
 Article 12 (Fees, etc.)
In performing the duties related to the Races and other projects related to the Races, the Organizational Committee may impose fees or service charges, as prescribed by Presidential Decree, in any of the following cases:
1. Where the Organizational Committee permits the use of any racing facility or goods under its control;
2. Where the Organizational Committee provides services to an individual, a legal entity, or an organization;
3. Other cases prescribed by Presidential Decree.
 Article 13 (Request, etc. for Dispatch of Public Officials)
(1) Where the Organizational Committee deems it necessary to perform its duties, it may request a relevant administrative agency, local government, legal entity or an organization related to the Races, to dispatch public officials under Article 2 (2) of the State Public Officials Act or Article 2 of the Local Public Officials Act, or to send executives or employees of the legal entity or organization, upon prior approval from the Minister of Culture, Sports and Tourism.
(2) Upon receiving a request from the Organizational Committee to dispatch public officials, executives or employees pursuant to paragraph (1), the head of the relevant administrative agency, local government, legal entity or the organization related to the Races shall select and dispatch persons fit for the requested duties, except under extenuating circumstances, and shall consult the Organizational Committee in advance in order to cancel the dispatch service while such service is being provided.
(3) No head of an administrative agency, local government, legal entity or a relevant organization who dispatches public officials, executives or employees pursuant to paragraph (2) shall unfairly discriminate against such dispatched persons when it comes to promotion, transfer, education, rewards, welfare, benefits, and other treatment.
(4) If the Organizational Committee finds that a dispatched public official, an executive or employee dispatched from a legal entity or an organization is incompetent, it may request the administrative agency, local government, legal entity, or the organization, which has provided the relevant dispatch service, to cancel such service.
 Article 14 (Request for Data)
(1) The Organizational Committee may request the relevant administrative agency, public institution, educational institution or research institute, to provide data related to the Races, such as survey reports and treatises.
(2) Upon receiving a request under paragraph (1), the head of an agency or organization shall comply therewith, except under extenuating circumstances.
 Article 15 (Approval of Budget Plan, etc.)
The Organizational Committee shall prepare its business plan and budget plan for the following year and obtain approval therefor from the Minister of Culture, Sports and Tourism one month before the following year begins. The foregoing shall also apply where the Organizational Committee intends to make changes to such plans.
 Article 16 (Report, etc. on Settlement of Accounts)
The Organizational Committee shall submit a report on the settlement of accounts for revenue and expenditure for each fiscal year to the Minister of Culture, Sports and Tourism not later than the end of March of the following year, along with a report on its business performance for the same year.
 Article 17 (Escheat of Residual Property)
The provisions of Article 13 of the Act on the Establishment and Operation of Public Interest Corporations shall apply mutatis mutandis to the escheat of its residual property where the Organizational Committee is dissolved.
CHAPTER III RACING FACILITIES, ETC.
 Article 18 (Implementers of Projects for Installation and Use of Racing Facilities)
(1) The Special Metropolitan City Mayor, Metropolitan City Mayor, Do Governor, or the Governor of a Special Self-Governing Province (hereinafter referred to as "Mayor/Do Governor") having jurisdiction over the racing venue may directly execute projects for the installation and use of racing facilities (hereinafter referred to as "racing facilities projects") or designate any of the following persons as an implementer (hereinafter referred to as "implementer") and authorize him/her to implement such projects:
1. The head of a Si/Gun;
2. Any public institution prescribed by Presidential Decree;
3. Deleted; <by Act No. 11786, May 22, 2013>
4. Any implementer prescribed by the Act on Public-Private Partnerships in Infrastructure, where such projects are executed as public-private partnership projects under the aforesaid Act;
5. Any local government-invested public corporation under the Local Public Enterprises Act;
6. The Organizational Committee.
(2) Any person who intends to be designated as an implementer under paragraph (1) shall submit documents prescribed by Presidential Decree to the competent Mayor/Do Governor.
 Article 19 (Mutatis Mutandis Application of the National Land Planning and Utilization Act)
The National Land Planning and Utilization Act shall apply mutatis mutandis to the installation and use of racing facilities, except as provided for in this Act.
 Article 20 (Special Exceptions to the Installation and Utilization of Sports Facilities Act)
(1) Article 11 (2) of the Installation and Utilization of Sports Facilities Act, which provides for restrictions on the installation of athletic facilities and the area of their site, shall not apply to the installation of racing facilities.
(2) With respect to the projects for racing facilities, the examination on fiscal investment projects under Article 37 of the Local Finance Act and the preliminary feasibility study under Article 38 of the National Finance Act shall be deemed to have been conducted. <Amended by Act No. 12687, May 28, 2014>
 Article 21 (Special Exceptions to the Public Waters Management and Reclamation Act)
(1) Where an implementation plan under Article 88 of the National Land Planning and Utilization Act (hereinafter referred to as "implementation plan"), which has been approved for the implementation of a racing facility project, includes any change in the purpose of reclamation of a parcel of land prearranged for reclamation or a parcel of reclaimed land with a reclamation license under Article 28 of the Public Waters Management and Reclamation Act or a parcel of reclaimed land that has successfully passed the final inspection under Article 45 of the aforesaid Act (including cases for which consultation has been completed or approval has been given pursuant to Article 35 of the aforesaid Act), it shall be deemed that the purpose of reclamation of the reclaimed land involved has been changed to the purpose of the use of the land under the implementation plan upon approval from the licensing authorities, notwithstanding the provisions of Articles 48 and 49 (1) of the aforesaid Act and the provisions of Article 3 of the Addenda to the Amended Public Waters Reclamation Act (Act No. 5911). <Amended by Act No. 10272, Apr. 15, 2010>
(2) If the licensing authorities responsible for a parcel of reclaimed land subject to change of the purpose of reclamation, which is included in an implementation plan, is the Minister of Oceans and Fisheries, the competent Mayor/Do Governor shall consult the Minister of Oceans and Fisheries before granting approval for the implementation plan. In such cases, the provisions of Article 48 (3) of the Public Waters Management and Reclamation Act shall apply mutatis mutandis to consultation with the Minister of Oceans and Fisheries. <Amended by Act No. 10272, Apr. 15, 2010; Act No. 11690, Mar. 23, 2013; Act No. 11786, May 22, 2013>
(3) The provisions of Article 49 (2) and (4) through (6) and Article 50 of the Public Waters Management and Reclamation Act shall apply to the reappraisal of the reclaimed land with its purpose of reclamation changed pursuant to paragraph (1), public notice of the change in the purpose of reclamation, registration of the change, and acquisition of the ownership of the reappraised reclaimed land. <Amended by Act No. 10272, Apr. 15, 2010>
(4) Notwithstanding the provisions of Article 35 (2) of the Public Waters Management and Reclamation Act, if the implementation plan under paragraph (1) has been approved with regard to a building site for a racing facility, the rights related to reclamation may be transferred to the implementer before the final inspection of the reclamation project. <Amended by Act No. 10272, Apr. 15, 2010>
(5) Where an implementer acquires the rights related to reclamation pursuant to paragraph (4), a reclamation license shall be deemed to have been granted pursuant to Article 28 of the Public Waters Management and Reclamation Act. In such cases, the provisions of Article 28 (4) of the aforesaid Act shall not apply. <Amended by Act No. 10272, Apr. 15, 2010>
(6) Paragraphs (1) through (5) shall apply only to a parcel of reclaimed land for which a reclamation license has been granted pursuant to Article 28 of the Act on the Management and Reclamation of Public Waters or for which consultation has been completed or approval has been given pursuant to Article 35 of the aforesaid Act. <Amended by Act No. 10272, Apr. 15, 2010>
 Article 22 (Establishment, etc. of Plan for Utilization of Racing Facilities)
(1) The competent Mayor/Do Governor shall establish and implement a plan for the after-event use of racing facilities, upon consultation with the Minister of Culture, Sports and Tourism and heads of relevant central administrative agencies.
(2) The competent Mayor/Do Governor may request the Organizational Committee or implementers to submit a plan for the installation of racing facilities, plan for the operation of the Races, operation plan before and after the period during which the Races are held, and implementation plans for other projects. In such cases, any person receiving such request shall comply therewith, except under extenuating circumstances. <Amended by Act No. 11786, May 22, 2013>
 Article 23 (Subsidization for Racing Facilities)
(1) The State or a local government may provide subsidies to help cover all or part of the costs necessary for the construction, renovation, and repair of racing facilities. <Amended by Act No. 11786, May 22, 2013>
(2) Deleted. <by Act No. 11786, May 22, 2013>
(3) Such matters as persons eligible for subsidization for racing facilities, details and ratio of subsidization under paragraph (1) shall be prescribed by Presidential Decree.
(4) The State and competent local government shall provide their full support for the successful completion of projects related to the Races and projects for the development of social infrastructure, which have been implemented or are to be implemented in the venue of the Races and its surroundings by the time the Races are held.
(5) A local government may issue local government bonds in order to grant subsidies to help cover the costs of racing facilities projects. In such cases, local government bonds may be issued in excess of the ceilings on the issuance of local government bonds, notwithstanding the provisions of Article 11 of the Local Finance Act.
 Article 24 Deleted. <by Act No. 11786, May 22, 2013>
CHAPTER IV ASSISTANCE TO SUPPORTING ORGANIZATIONS AND SAFETY MEASURES
 Article 25 (Non-Governmental Promotional Campaigns)
(1) The State or a local government may assist non-governmental promotional campaigns in encouraging citizens' participation and enhancing national cultural awareness in order to ensure successful hosting of the Races.
(2) The State or a local government may provide administrative and financial support necessary for the establishment and operation of related organizations in order to promote non-governmental promotional campaigns under paragraph (1) in a continuous and systematic manner.
 Article 26 (Safety Measures)
(1) The Organizational Committee shall take measures prescribed by Ordinance of the Ministry of Culture, Sports and Tourism, such as the installation of safety equipment and the placement of safety controllers, in order to ensure the security of facilities for the Races and the safety of individuals, including participants, press staff and spectators. <Amended by Act No. 11786, May 22, 2013>
(2) Deleted. <by Act No. 11786, May 22, 2013>
(3) The State may establish and operate a safety control organization composed of relevant administrative agencies, etc. in order to provide support for the security of facilities and safety of individuals under paragraph (1).
(4) Matters necessary for the establishment and operation of the safety control organization under paragraph (3) shall be prescribed by Presidential Decree.
CHAPTER V PROHIBITION, ETC. ON USE OF INSIGNIA OR SIMILAR NAME
 Article 27 (Use of Insignia, etc. of Races)
Any person who intends to place an insignia, mascot, or any similar mark designated by the Organizational Committee as one symbolizing the Races on his/her product or use it for advertisement or any other commercial purposes shall obtain approval from the Organizational Committee: Provided, That the foregoing shall not apply where a right holder registered pursuant to the Trademark Act or the Design Protection Act uses such insignia, mascot, or mark.
 Article 28 (Prohibition on Use of Similar Names)
(1) No one but the Organizational Committee shall use the name "Organizational Committee of the Formula One International Motor Races" or any name similar thereto.
(2) Deleted. <by Act No. 11786, May 22, 2013>
 Article 29 (Legal Fiction as Public Officials in Application of Penalty Provisions)
In applying penalty provisions under Articles 129 through 132 of the Criminal Act, executives and employees of the Organizational Committee as well as those dispatched to the Organizational Committee from a legal entity or organization pursuant to Article 13 shall be deemed to be public officials.
CHAPTER VI PENAL PROVISIONS
 Article 30 (Penalty Provisions)
Any person in violation of the provisions of Article 27 shall be punished by imprisonment with labor for not exceeding five years, or by a fine not exceeding 20 million won.
 Article 31 (Administrative Fines)
(1) Any person in violation of the provisions of Article 28 shall be subject to an administrative fine not exceeding three million won.
(2) Administrative fines under paragraph (1) shall be imposed and collected by the head of each local government, as prescribed by Presidential Decree.
ADDENDA
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That subparagraph 6 of Article 2, Articles 6 (5), 12, 18 (1) 2, 23 (3), 24 (1), (4) and (5), 26 (4), and 31 shall enter into force three months after the date of its promulgation.
Article 2 (Effective Period)
This Act shall be effective until December 31, 2017: Provided, That if the period of the Races is extended, it shall be effective until December 31 of the year immediately following the last year of the Races.
Article 3 (Transitional Measures concerning Organizational Committee)
(1) The Organizational Committee established as an incorporated foundation pursuant to Article 32 of the Civil Act as at the time this Act enters into force shall prepare articles of association and obtain approval from the Minister of Culture, Sports and Tourism within two months after this Act enters into force.
(2) The Organizational Committee established as an incorporated foundation pursuant to Article 32 of the Civil Act shall file for the registration of the establishment of the Organizational Committee immediately upon obtaining approval under paragraph (1).
(3) The Organizational Committee established as an incorporated foundation pursuant to Article 32 of the Civil Act shall be deemed dissolved when the establishment of the Organizational Committee is registered pursuant to paragraph (2), notwithstanding provisions applicable to the dissolution and liquidation of legal entities in the Civil Act.
(4) The Organizational Committee shall succeed to all rights, obligations, and property of the Organizational Committee established as an incorporated foundation pursuant to Article 32 of the Civil Act as of the date of registration of its establishment.
(5) Executive officers and employees of the Organizational Committee established as an incorporated foundation pursuant to Article 32 of the Civil Act shall be deemed executive officers and employees of the Organizational Committee under this Act, and the term of office for each executive officer shall be counted from the date of the previous appointment.
Article 4 (Transitional Measures concerning Public Officials, Executive Officers, and Employees Dispatched to Organizational Committee)
Public officials, executive officers or employees dispatched to the Organizational Committee established as an incorporated foundation pursuant to Article 32 of the Civil Act from the State, local government, legal entity, or organization at the time this Act enters into force shall be deemed public officials, executive officers or employees dispatched pursuant to Article 13.
Article 5 (Transitional Measures concerning Past Activities)
Activities already performed by a person designated as an implementer pursuant to this Act in order to carry out a racing facility project pursuant to the National Land Planning and Utilization Act before this Act enters into force shall be deemed to have been performed pursuant to this Act.
ADDENDA <Act No. 10272, Apr. 15, 2010>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 14 Omitted.
ADDENDA <Act No. 11690, Mar. 23, 2013>
Article 1 (Enforcement Date)
(1) This Act shall enter into force on the date of its promulgation.
(2) Omitted.
Articles 2 through 7 Omitted.
ADDENDUM <Act No. 11786, May 22, 2013>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 12687, May 28, 2014>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 22 Omitted.
ADDENDA <Act No. 13726, Jan. 6, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 7 Omitted.
ADDENDA <Act No. 14839, Jul. 26, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That among the Acts amended pursuant to Article 5 of this Addenda, amended parts of the Acts which were promulgated before this Act enters into force but the enforcement dates of which have not arrived, shall enter into force on the enforcement date of the relevant Act, respectively.
Articles 2 through 6 Omitted.