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Enforcement Decree of the Act on Promotion of Use of Community-Based Gift Certificate

Presidential Decree No. 30817, Jul. 1, 2020

Amended by Presidential Decree No. 32583, Apr. 19, 2022

 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters mandated by the Act on Promotion of Use of Community-Based Gift Certificate and matters necessary for the enforcement thereof.
 Article 2 (Reporting on Issuance of Community-Based Gift Certificates)
(1) Where the head of a local government intends to report the issuance of community-based gift certificates or change any reported matter under Article 5 (1) of the Act on Promotion of Use of Local Love Gift Certificates (hereinafter referred to as the “Act”), he or she shall submit to the Minister of the Interior and Safety a report on the issuance of community-based gift certificates or a report on changes in the form prescribed by Ordinance of the Ministry of the Interior and Safety, along with the following documents:
1. In the case of a report on issuance:
(a) Samples of community-based gift certificates;
(b) Plans for the issuance of community-based gift certificates and the records of the issuance of such gift certificates for the preceding half year;
2. In the case of a report on changes:
(a) Samples of community-based gift certificates (only applicable to where any change is made to the details stated in the original community-based gift certificates);
(b) Amended plans for the issuance of community-based gift certificates.
(2) Where the head of a local government intends to report discontinuation of the issuance of community-based gift certificates under Article 5 (1) of the Act, he or she shall submit to the Minister of the Interior and Safety a report on discontinuation of the issuance of community-based gift certificates in the form prescribed by Ordinance of the Ministry of the Interior and Safety no later than two months before the date the issuance of such gift certificates is discontinued.
(3) Upon receipt of a report on the issuance of community-based gift certificates, a report on changes, or a report on discontinuation of the issuance of such gift certificates under Article 5 (2) of the Act, the Minister of the Interior and Safety shall disclose the details of such report on the website of the Ministry of the Interior and Safety. In such cases, the scope of the details to be disclosed, timing and methods of disclosure, and other detailed matters shall be prescribed by the Minister of the Interior and Safety.
 Article 2-2 (Period of Restriction on Re-Registration of Merchants)
(1) "Period prescribed by Presidential Decree" in Article 8 (2) of the Act means the periods classified as follows; in such cases, where the registration of a merchant has been revoked for two or more violations, the period of restriction on re-registration shall be one year:
1. Where the registration of a merchant has been revoked pursuant to Article 8 (1) 1 of the Act: One year;
2. Where the registration of a merchant has been revoked pursuant to Article 8 (1) 2 of the Act: Six months;
3. Where the registration of a merchant has been revoked pursuant to Article 8 (1) 3 of the Act: The periods classified as follows:
(a) Where the registration has been revoked in violation of Article 10 (1) 1 of the Act: Six months;
(b) Where the registration has been revoked in violation of Article 10 (1) 2 of the Act: One year;
(c) Where the registration has been revoked in violation of Article 10 (2) of the Act: Six months;
(d) Where the registration has been revoked in violation of Article 10 (3) 1 of the Act: One year;
(e) Where the registration has been revoked in violation of Article 10 (3) 2 of the Act: One year.
(2) The head of a local government may reduce the period of restriction on re-registration of a merchant under paragraph (1) by up to 1/2, in any of the following cases:
1. Where it is deemed that a violator has endeavored to correct or lessen the effect of the violation of the Act;
2. Where it is deemed that a violation has a little effect on consumer damage or the distribution order of community-based gift certificates in light of the type, substance, result, etc. of such violation;
3. Where it is deemed necessary to reduce the period of restriction on re-registration of a merchant, taking into consideration the background, motives, severity, etc. of a violation.
[This Article Newly Inserted on Apr. 19, 2022]
 Article 3 (Refund of Balance of Local Love Gift Certificates)
"Percentage prescribed by Presidential Decree" in Article 10 (2) of the Act means a percentage prescribed by municipal ordinances, which is not less than 60/100 but not more than 80/100.
 Article 4 (Preparation of Reports on Records of Issuance)
The head of a local government that issues community-based gift certificates shall, pursuant to Article 14 of the Act, prepare a report on the records of the issuance of such gift certificates in the form prescribed by Ordinance of the Ministry of the Interior and Safety and submit such report to the Minister of the Interior and Safety. In such cases, if deemed necessary to understand the current status of the management of the gift certificates, the Minister of the Interior and Safety may request the head of the local government to submit related materials in addition to the report.
 Article 5 (Support for Management of Community-Based Gift Certificates)
(1) The State may, pursuant to Article 15 (1) of the Act, provide a local government that manages community-based gift certificates with support necessary for the management of such gift certificates, such as for the establishment of guidelines for the management of the gift certificates, the implementation of a public contest for promotion of the certificates, public relations, and the management of the current status for proper distribution.
(2) The Special Metropolitan City, a Metropolitan City, and a Do (excluding a Special Self-Governing City and Special Self-Governing Province) may, pursuant to Article 15 (1) of the Act, provide a Si/Gun/Gu (Gu refers to an autonomous Gu) under his or her jurisdiction with administrative support necessary for the management of community-based gift certificates, such as for public relations and the management of the current status for proper distribution of such gift certificates, and may grant subsidies to cover the expenses incurred in issuing, discounting, selling, exchanging, and publicizing the gift certificates within the budget.
 Article 6 (Investigation of Violations)
(1) When the head of a local government issues an order to submit a report or data under Article 17 (1) of the Act, he or she shall notify in writing the deadline and methods for submission of a report or data and the details to be submitted, to a sales agency or merchant, respectively.
(2) Where the head of a local government intends to have public officials under his or her authority enter an office for inspection under Article 17 (1) of the Act, he or she shall notify the relevant sales agency or merchant of subject matters of and reasons for such inspection no later than seven days before the commencement of the inspection: Provided, That the head of the local government need not give such notification where there is any urgency or where it is deemed that prior notification makes it impossible to achieve the purpose of the inspection due to the destruction of evidence, etc.
 Article 7 (Standards for Imposition of Administrative Fines)
The standards for imposition of administrative fines under Article 20 (1) and (2) of the Act shall be as specified in the attached Table.
 Article 8 (Re-Examination of Regulation)
The Minister of the Interior and Safety shall examine the appropriateness of the period of restriction on re-registration of a merchant under Article 2-2 every three years, counting from the base date of April 20, 2022 (referring to the period that ends on the day before the base date of every third year) and shall take measures, such as making improvements.
[This Article Newly Inserted on Apr. 19, 2022]
ADDENDUM <Presidential Decree No. 30817, Jul. 1, 2020>
This Decree shall enter into force on July 2, 2020.
ADDENDA <Presidential Decree No. 32583, Apr. 19, 2022>
Article 1 (Enforcement Date)
This Decree shall enter into force on April 20, 2022: Provided, That the amended provisions of subparagraphs 1 and 2 of the attached Table shall enter into force on the date of the promulgation of this Decree.
Article 2 (Transitional Measures concerning Criteria for Imposition of Administrative Fines)
Notwithstanding the amended provisions of subparagraphs 1 (d) and 2 (b) and (c) of the attached Table, the application of the criteria for imposition of administrative fines for violations committed before the enforcement date under the proviso of Article 1 of the Addenda shall be governed by the previous provisions.