Politics · South Korea · 1 hr ago
LH hired an under-equipped contractor for Busan soil cleanup, lawmaker says
South Korea’s Korea Land and Housing Corp.
(LH) hired a company in 2024 to remove about 597,000 tonnes of waste soil from the Myeongji development in Busan.
The 55.8 billion won contract required the soil to be removed by the end of that year.
The selected company had only 36% of the capacity needed to meet the required daily transport rate, according to documents provided to lawmaker Ahn Tae-joon.
Of 61 vehicles the company listed as its own, 31 belonged to other firms or entities, but LH accepted a promise that more equipment would be secured after work began.
The contractor then passed transport work to other companies, and truck owners were left unpaid.
LH paid 53.9 billion won despite having material that raised concerns about subcontracting, the documents showed.
Ahn called for LH to investigate the case again, while a court separately rejected LH’s challenge to a waste-disposal levy related to contaminated soil that was reburied at the site.
A lawmaker says the Korea Land and Housing Corporation selected an under-equipped contractor for a 55.8 billion won soil-waste cleanup project in Busan.
The contract was intended to remove about 597,000 tonnes of waste soil from the Myeongji International New City development by the end of 2024.
The contractor had only 36% of the handling capacity needed to meet the schedule, and 31 of 61 vehicles it listed were owned by other entities.
LH paid 53.9 billion won despite evidence suggesting the contractor had subcontracted the work, and truck owners later faced unpaid bills.
Lawmaker Ahn Tae-jun called for a fresh audit, saying the matter could not be dismissed as a simple mistake by a few field employees.
- Who
- The Korea Land and Housing Corporation (LH) hired a contractor for the work. Lawmaker Ahn Tae-jun criticized the selection and called for a fresh audit.
- What
- LH awarded a 55.8 billion won contract to remove about 597,000 tonnes of waste soil. Ahn says the contractor lacked sufficient capacity.
- When
- LH issued an emergency contract in September 2024. The cleanup was to be completed by the end of 2024, and the report was published on October 13, 2026.
- Where
- Myeongji International New City in Gangseo-gu, Busan.
- Why
- LH hired the contractor to handle waste soil generated during construction of the development by the required deadline.
LH
Busan District Court
Waste disposal levy
LH
LH argued that the waste soil came from an earlier landfill operation and that it had no duty to handle it.
Busan District Court
The court rejected LH’s argument and ruled against it in LH’s challenge to the levy.
LH issued an emergency contract for handling waste soil from the Myeongji district.
The contract’s deadline for handling about 597,000 tonnes of waste soil.
A Busan court ruled against LH in its lawsuit challenging a waste disposal levy.
Yonhap reported the contract-selection concerns and Ahn Tae-jun’s call for a fresh audit.
- Contract value
- 55.8 billion won
- Waste soil
- About 597,000 tonnes
- Required daily transport
- 7,961 tonnes
- Contractor’s capacity
- 36% of the required level
- Vehicles listed as contractor-owned
- 61, of which 31 belonged to other entities
- Payment by LH
- 53.9 billion won
What people are saying
This case is not an issue that can be written off as a simple mistake by one or two field employees.











