On October 14, 2019, the Defendant issued a disposition to revoke certification of a social company with the Plaintiff and imposed a penalty surcharge of KRW 425,754,90.

Details of the disposition

A. On September 6, 2016, the Plaintiff was certified as a cooperative with the purpose of the automobile model and manufacturing business by the Minister of Labor as a certified number B pursuant to the Act on the Promotion of Social Enterprises (hereinafter “Social Enterprises Act”).

B. The Ministry of Labor and Ulsan Metropolitan City jointly recruited a prospective social company with the employment rate of at least 50% of the vulnerable groups, such as low-income earners, persons with disabilities, and the aged, for which the amount of the minimum wage of workers and the amount of social insurance premiums to be borne by employers is equal to or greater than 50%, and the selected participant enterprises supported the labor cost of at least 80-90% of the participating workers, depending on the annual rate of subsidization, and if the participating enterprise is certified as a social company, there was a financial support project to support the labor cost of at least 50-80% of the participating workers every three years (hereinafter “instant project”).

(c)

On July 22, 2014, the Plaintiff was designated as a regional prospective social company by the Ulsan Metropolitan City Mayor on July 2, 2014. On August 13, 2014, the Plaintiff applied for the public notice of recruitment of participating enterprises for the job creation of social enterprises in the first half of the second half of the year of August 2014, and was selected as participating enterprises, and entered into an agreement with the office of Ulsan-gu, Ulsan-gu, and received employment expenses for participating workers and some insurance premiums every month from November 1, 2014.

(d)

In this regard, due to the Plaintiff’s information that he received personnel expenses from an investigative agency, the investigation was initiated. On May 21, 2018, the Ulsan District Court suspended the Plaintiff’s payment of subsidies, terminated the instant business agreement with the Plaintiff on October 26, 2018, and terminated the Plaintiff’s illegal receipt amount of KRW 87,250,870, and the Plaintiff’s illegal receipt amount of KRW 87,250,870, and KRW 87,250,870, and KRW 57,250 recognized by the Ulsan District Court in the criminal trial against the Defendant.