Article 16-12(Suspension and revocation of approval for profit-making projects) #
(1) If the Veterans Association, which has obtained approval for a profit-making project under Article 16-4 (1), falls under any of the following categories, the Minister of Patriots and Veterans Affairs may order the Association to suspend the relevant profit-making project within a period of up to 6 months or revoke such approval; provided, in the case of subparagraph 1, 2, or 5, the approval for the profit-making project shall be revoked:
1. Where the Association has obtained approval for, or approval for modification of, a profit-making project under Article 16-4 (1) or (2) by fraud or other improper means;
2. Where the Association has discontinued a profit-making project approved under Article 16-4 (1);
3. Where the Association fails to operate a profit-making project approved under Article 16-4 (1) for at least 2 years;
4. Where the Association fails to meet the standards for approval under Article 16-4 (3);
5. Where the Association has allowed another person to conduct a profit-making project in its name, in violation of Article 16-5 (1);
6. Where the Association refuses an audit under Article 16-9 (1) or a regular audit under paragraph (5) of that Article or submits false materials;
7. Where the Association refuses, obstructs, or evades a fact-finding survey under Article 16-10 (1);
8. Where the Association fails to comply with corrective measures under Article 17;
9. Where the Association refuses, obstructs, or evades an investigation or inspection under Article 17-2 (1);
10. Where the Association refuses to submit reports, documents, or materials under Article 18 or submits false reports, documents, or materials;
11. Where the Association conducts a profit-making project during the period of suspension of such project;
12. Where the Association is subject to restrictions on qualifications for participation in tendering procedures under Article 27 of the Act on Contracts to Which the State Is a Party;
13. Where the Association is subject to restrictions on qualifications for participation in tendering procedures under Article 31 of the Act on Contracts to Which a Local Government Is a Party;
14. Where the Association falls under the category specified in Article 11 (2) 1 or 3 of the Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets.
(2) When imposing a disposition of suspension of, or revocation of approval for, a profit-making project under paragraph (1), the Minister of Patriots and Veterans Affairs may allow the Veterans Association to continue performing duties under a contract already concluded in relation to the relevant profit-making project before receiving such disposition.
(3) If the Minister of Patriots and Veterans Affairs has allowed the Veterans Association to continue performing duties under a contract already concluded in relation to the relevant profit-making project under paragraph (2), the Association shall notify the counterparty to the contract of the fact and details of the suspension of, or revocation of approval for, the profit-making project under paragraph (1), within the period prescribed by Decree of the Ministry of Patriots and Veterans Affairs.
(4) Matters necessary for the detailed standards for administrative dispositions under paragraph (1) and other relevant details shall be prescribed by Decree of the Ministry of Patriots and Veterans Affairs.
[This Article Added on Jul. 11, 2023]