Agricultural Community Modernization Promotion Act

Article 1(Purpose) #

This Act seeks to increase the productivity of agriculture through the improvement, development, and preservation and collectivization of farmland and agriculture mechanization and to improve farmhouses, thereby promote the modernization of the agricultural community.

Article 2(Definitions) #

The terms used in this Act shall be defined as follows:

1. "Farmland improvement project" means the following projects enforced by this Act:

A. Installation, maintenance, change or abolishment, and amalgamation of the facilities required for the conservation or use of irrigation, drainage, farm-to-market, and other farmland (hereinafter referred to as "farmland improvement facilities")

B. Land readjustment

C. Conversion into paddy field or opening of new dry field

D. Filling or reclamation for agricultural purpose

E. Disaster recovery of farmland or facilities required for the preservation or use of farmland

F. The exchange and subdivision and amalgamation of the rights to farmland, rights to the land required for the use of farmland, and rights to use the agricultural facilities and water

G. Other projects required for the improvement or conservation of farmland

2. "Agriculture mechanization project" refers to the production or introduction of the machine and instruments used in agriculture to supply them to farms or provide their service to farmers to increase the production of agricultural products.

3. "Farm implements" pertain to agricultural machines and tools.

4. "Farmhouse improvement project" means the construction or improvement of farmhouses suitable for agricultural community modernization.

Article 3(Juridical Personality) #

The Farmland Improvement Association or Agricultural Development Corporation established in accordance with this Act shall be a corporation.

Article 4(Principle of Farmland Improvement Project) #

The farmland improvement project shall be implemented to contribute to the comprehensive development and conservation of farmland resources to make them appropriate for the increase in agricultural productivity and development of agricultural economy.

Article 5(Qualification to Participate in Farmland Improvement Projects) #

(1) The following persons may participate in a farmland improvement project in relation to the land within the enforcement zone of the farmland improvement project:

1. Land owner who uses and profits for agricultural purpose

2. Person who has a real right (including registered lease; the same shall apply hereafter) in addition to the ownership to use and profit for agricultural purpose

3. Land owner who has a real right in addition to the ownership to use and profit for non-agricultural purpose and who is recognized as a person qualified to participate in the farmland improvement project by the Mayor of Seoul Metropolitan City, Mayor of Busan, or Do governor in accordance with the presidential decree

(2) The following persons are deemed qualified under paragraph (1):

1. Person whose farmland is distributed by the Farmland Reform Act and who uses and profits from the land for agricultural purpose

2. Person who purchases land in accordance with the Treatment of State-Reverted Properties Act and uses and profits from the land for agricultural purpose

3. Person who borrows state-owned land in accordance with the State Properties Act and other laws and uses and profits from the land for agricultural purpose

4. Person who acquires land by obtaining a reclamation license of public waters in accordance with the Public Waters Reclamation Act and uses and profits from the land for agricultural purpose

5. Person who acquires land by obtaining a cultivation permission in accordance with the Farmland Creation Act and uses and profits from the land for agricultural purpose

Article 6(Person Concerned) #

A person concerned in this Act means an owner of a land related to this farmland improvement project or a farmhouse improvement project or an owner of an object attached to the land, a person who has a registered right for the land or the object, a person who has fishing rights, or a person who fishes in accordance with conventional practice as per Article 40 of the Fisheries Act.

Article 7(Implementing Body of the Farmland Improvement Project) #

The nation, a local government,

Agricultural Development Corporation, the Farmland Improvement Association, or a landowner implements the farmland improvement project.

Article 8(Use of Name and Prohibition of Using Similar Name) #

(1) The Farmland Improvement Association shall use its letters in its name.

(2) Entities other than the Farmland Improvement Association or Agricultural Development Corporation in accordance with the provisions of this Act are prohibited from using the words "Farmland Improvement Association" or "Agricultural Development Corporation" or similar words in their name.

Article 9(Purpose) #

The purpose of the Farmland Improvement Association (hereinafter referred to as "association") is to maintain the farmland improvement facilities within the association area efficiently and perform a land readjustment project or manufacture a farmland improvement product, etc., thereby contributing to the increase in agricultural productivity of the members of the association.

Article 10(Application for Authorization) #

(1) Persons numbering twenty or more and who meet the requirements under the provision of Article 5 may establish a union with certain area including the land they own with authorization from the Minister of Agriculture and Forestry.

(2) To establish a union, a farmland improvement facility shall be established because of the implementation of a farmland improvement project by the State, a local government, or Agricultural Development Corporation in the area under the provision of paragraph (1).

(3) The application for establishment of a union shall include business plan, articles of association, written consent to the establishment of union by at least two-thirds of the persons who meet the requirements under the provision of Article 5, and other documents defined by the Ordinance of the Ministry of Agriculture and Forestry.

Article 11(Review and Notification) #

(1) Upon receiving the application for the establishment of a union, the Minister of Agriculture and Forestry shall review the business plan and articles of association, determine whether it may be established or not, and notify the applicant of its decision.

(2) If the Minister of Agriculture and Forestry determines that the application is suitable under the provision of paragraph (1), he shall announce the decision and set a period of 10 ~ 20 days for the persons concerned to read the copies of the business plan and articles of association.

Article 12(Objection) #

(1) If the persons concerned have an objection to the decision of the Minister of Agriculture and Forestry in relation to the notification under Article 11 (2), they may file an objection within 40 days of the date of the notification.

(2) In case of objection under the provision of paragraph (1), the Minister of Agriculture and Forestry shall make a decision and notify the applicant accordingly within 90 days of the date of notification under Article 11 (2).

(3) In case the Minister of Agriculture and Forestry determines that there are grounds for rejecting the application under the provision of paragraph (1), he shall reject the application under the provisions of Article 10.

Article 13(Authorization of Establishment) #

(1) In case there is no objection within the period under the provision of Article 12 (1), or the objection is rejected because there are no grounds for such, the Minister of Agriculture and Forestry shall authorize the establishment of a union.

(2) The Minister of Agriculture and Forestry shall, upon authorization of the establishment of a union under the provision of paragraph (1), announce the authorization without delay.

Article 14(Articles of Association) #

(1) The articles of association of a union shall contain the following:

1. Purpose

2. Name

3. Area of the union

4. Address of the principal place of business

5. Matters concerning the admission and withdrawal of members

6. Matters concerning the organization

7. Matters concerning executives and employees

8. Matters concerning assets

9. Matters concerning business

10. Matters concerning accounting

11. Matters concerning the conduct of business

12. Matters concerning the payment of expenses

13. Method of public notice

14. Matters concerning the dissolution of the union

15. Other matters deemed necessary

(2) Authorization from the Minister of Agriculture and Forestry is required to amend the articles of association.

Article 15(Registration) #

(1) Unions are duly formed only upon completion of registration of their establishment regarding the following matters within 3 weeks of authorization of its establishment in the principal place of business:

1. Matters specified in Article 14 (1), subparagraphs 1 ~ 4

2. Date of authorization of establishment

3. Name and address of the president and the auditor of a union

4. In case there are assets, their total amount

(2) In case of alteration of matters specified in the foregoing paragraphs, the alteration shall be registered within 2 weeks in the principal place of business.

(3) In case of failure to register matters that need to be registered under the provisions of paragraph (1), they shall be neither valid nor effective against a third party.

Article 16(Taking over and Maintaining Facilities) #

A union established under the provision of Article 15 (1) shall take over and maintain in the area of the union the farmland improvement facilities transferred from the persons who installed the facilities. In this case, the rights and obligations of the State, local government, or Agricultural Development Corporation occurring in relation to the installation of the farmland improvement facilities shall be succeeded generally by the union. Note, however, that the scope of obligation with regard to the union succeeded from the State or local government shall be prescribed by the Presidential Decree.

Article 17(Payment of Cost of Establishment) #

The cost of establishment of a union shall be borne by the union. In case a union is not established, however, the applicant for establishment under the provisions in Article 10 shall pay for the cost.

Article 18(Alteration in Area) #

(1) A union attempting to include an area other than the union area shall announce its articles or association, the area to be included, and the farmland improvement project plan and obtain the consent of at least two-thirds of the persons who meet the requirements under the provision of Article 5.

(2) The area to be included under the provision of paragraph (1) shall be the area where the farmland improvement facilities are operated by the State, local government, or Agricultural Development Corporation or the area benefitted by the farmland improvement of the union.

(3) In case of the latter case under paragraph (2), the Minister of Agriculture and Forestry may include in the area of the union the area to be included if the latter is receiving the same benefit as the former, notwithstanding the consent under the provision of paragraph (1).

(4) In case a certain area in the area of the union may not benefit from the farmland improvement facilities in the area of the union for reasons prescribed by the Presidential Decree, the union shall obtain approval from the Minister of Agriculture and Forestry and exclude the land from the area of the union if there is an application from a union member.

Article 19(Union Member) #

When a union is established, the person who meets the requirements prescribed in Article 5 in relation to the land within the union area shall become a member.

Article 20(Member's Obligation to Report) #

A person who acquires rights such as ownership shall report such to a union within 14 days of the date of acquisition.

Article 21(Notification to Member) #

A union serving notice or peremptory notice to a union member shall send it to the address in the list of members.

Article 22(General Meeting) #

(1) A union shall have a general meeting. In case of a union whose members exceed 200 persons, however, it shall have a board of representatives.

(2) The general meeting or the board of representatives shall consist of a union president as well as union members or representatives.

(3) Representatives shall be elected by union members among members who are 25 years of age or older.

(4) The total number of representatives shall be 30 persons if the number of union members is less than 1,000, 50 persons in case of more than 1,000 but less than 5,000 members, 80 persons in case of more than 5,000 but less than 10,000 members, 100 persons in case of more than 10,000 but less than 20,000 members, and 150 persons in case of more than 20,000 members.

(5) The term of a representative shall be four years. For the term of a representative elected to fill a vacancy, the term shall be the remaining term of the predecessor.

(6) The provisions for a general meeting shall apply to the board of representatives.

Article 23(Matters Subject to Resolution of the General Meeting) #

The following matters shall be subject to resolution of the general meeting:

1. Amendment of the articles of association

2. Matters related to the sale of debentures

3. Matters related to the expense chargeable to members

4. Establishment, amendment, or repeal of regulations

5. Establishment, amendment, or discontinuance of farmland improvement project plan

6. Budget preparation

7. Approval of settlement of revenue and expenditure, business report, and inventory

8. Execution of agreement other than the budget chargeable to a union

9. Acquisition, management, or disposition of real estate

10. Establishment, management, or disposal of reserves

11. Merger, split-off, or dissolution

12. Other matters falling under the jurisdiction of a general meeting as per other laws or the articles of association

Article 24(Regular General Meeting and Extraordinary General Meeting) #

(1) The president of a union may call a general meeting once per business year under the articles of association.

(2) An extraordinary general meeting may be convened if deemed necessary by the president of the union.

(3) The president of the union shall be the chairman of a general meeting.

Article 25(Request for Calling a General Meeting and Calling by an Auditor) #

(1) A union member may request the union president to call the general meeting by submitting a written request stating the purpose of the meeting and reason for calling the meeting, with the consent of at least one-fifth of the members required. In the case of the board of representatives, however, the consent of at least one-third of the representatives is required.

(2) The union president shall, upon receiving the request under paragraph (1), hold the general meeting within two weeks.

(3) If the union president is not able to hold a general meeting even after the request under paragraph (1) is made due to a vacancy in the president's post or other unavoidable grounds, or in case the union president omits to hold a general meeting within the period of time prescribed in paragraph (2) without justifiable grounds, the auditor shall call the meeting within five days. In such cases, the auditor shall assume the chairmanship of the general meeting on behalf of the union president.

(4) If the auditor does not call the general meeting in accordance with the provision of paragraph (3), the members requesting the general meeting under the provision of paragraph (1) shall call the meeting. In such case, the person elected among the members shall assume the chairmanship of the general meeting on behalf of the union president.

Article 26(Notice of Calling for a Meeting) #

When a general meeting is called, each member shall be notified of the date and purpose of the meeting five days before the opening of the meeting. In case of urgent circumstances, the notice may be served by three days before the beginning of the meeting.

Article 27(Opening of Meeting and Quorum) #

A general meeting shall be opened when majority of the union members are present. A resolution may be passed by the majority vote of those present. Note, however, that a resolution concerning any matter specified in Article 23, subparagraphs 1, 5, and 22 shall be adopted with the affirmative vote of at least two-thirds of the members present at the meeting when at least two-thirds of the members are present.

Article 28(Minutes of the General Meeting) #

(1) The proceedings of a general meeting shall be recorded in the minutes.

(2) The minutes shall contain the proceedings and result thereof, etc., and they shall be signed and sealed by five or more signatories of the minutes as elected among union members by the president and the general meeting.

(3) The president shall keep the minutes at the office. In case of a request to read the minutes from a union member, the president shall comply with such request.

Article 29(Application of the Regulations of Civil Law) #

Articles 35 and 62 of the Civil Law shall apply to the liability in case of an illegal action of a union and the appointment of a representative for the union president.

Article 30(Appointment and Term of Executives) #

(1) A union shall have one president and two auditors as executives.

(2) The president and the auditors shall be elected by the general meeting among union members 30 years of age or older, and the term shall be four years for the president and three years for the auditors.

(3) The office of an auditor shall be honorary, but auditors may be entitled to the reimbursement of expenses on an actual cost basis.

Article 31(Reasons for Disqualification) #

(1) The following persons shall not be qualified as an executive of a union:

1. Any person who is not a citizen of Korea

2. Any incompetent or quasi-incompetent person or person declared bankrupt and who is not yet reinstated

3. Any person for which two years have not passed since his/her imprisonment without labor or heavier punishment as sentenced by a court was completely executed or a final decision is made for the exemption from execution

4. Any person whose qualification is suspended by court judgment or operation of any other Act

5. Any person for which two years have not passed since the sentence of a fine imposed on him/her for his/her violation of this Act or dismissal as disciplinary punishment for his/her violation of any other Act was completely executed

(2) An executive shall be discharged immediately upon discovery or occurrence of the grounds or events set forth in paragraph (1).

(3) An act of the union wherein an executive discharged under the provision of paragraph (2) was involved shall not become invalid or ineffective.

Article 32(Duties of Executives) #

(1) The union president shall have overall control over the business affairs of the union and shall represent the union.

(2) The auditor shall audit the accounting and management of the union and report the result at a general meeting.

(3) The auditor shall represent the union regarding an agreement or a lawsuit with the union or the union president.

Article 33(Prohibition on Holding of Additional Position or Competitive Transaction) #

(1) The union president shall not hold an additional position without authorization from a general meeting.

(2) The union executive shall not run or work for a business that is in actual competitive relationship with the business of the union.

Article 34(Executives' Duties and Liabilities) #

(1) Each executive shall abide by this Act and the provisions of an order issued under this Act or articles of association and shall perform his/her duties in good faith.

(2) Each executive shall be liable for the damages inflicted upon the union by his/her intentional

or grossly negligent act in the course of performing his/her duties.

Article 35(Appointment of Employee) #

(1) An employee of a union shall be appointed by the union president.

(2) If deemed necessary, the Minister of Agriculture and Forestry may order the president of a union to carry out personnel interchange between unions.

Article 36(Code of Conduct, Etc., for Executive and Employees) #

The union president shall determine the code of conduct for executives and employees of a union in accordance with the standard set by the Minister of Agriculture and Forestry.

Article 37(Business) #

A union shall engage in the following business activities within its area:

1. Maintenance of farmland improvement facilities

2. Land readjustment and business activities incidental to land readjustment

3. Conversion into paddy field and opening of new dry field

4. Farm work improvement project

5. Disaster recovery of farmland or facilities necessary for the preservation or use of farmland

6. Other business activities to accomplish the purpose of a union

Article 38(Consignment of Business) #

If deemed necessary, a union may entrust part of the business specified in Article 37 to Agricultural Development Corporation.

Article 39(Imposition of Expenses) #

(1) A union may impose money, labor, or goods from a union member to cover the expenses necessary for the business thereof in compliance with the articles of association.

(2) In case of imposition of expenses under paragraph (1), the benefit received by the land from this business shall be considered.

(3) In case of paragraph (1), the labor and goods shall be imposed as calculated in monetary equivalent, and the labor and goods may be paid by money.

(4) Upon imposing labor under the provisions of paragraph (1), the intent of Labor Standards Act shall apply.

(5) Upon determining the amount of money imposed under paragraph (1), the following reserves and repayments shall be appropriated:

1. Depreciation reserve for facilities and other reserves necessary

2. Principal repayments for debts

(6) The Minister of Agriculture and Forestry shall determine the appropriation standard for reserves and repayments.

(7) A union wishing to impose the expenses under the provisions of paragraph (1) shall acquire authorization from the Minister of Agriculture and Forestry.

Article 40(Imposition of Special Reserves) #

In case a certain union member receives considerably more benefits than other union members, special reserves may be imposed and collected under the articles of association.

Article 41(Liabilities of a Withdrawing Member) #

A person disqualified by the reduction of the union area under the provision in Article 18 (4) shall pay his/her share of the union debt prior to the disqualification. In case the payment of such share is recognized to be very inadequate, however, the share may be reduced as prescribed in the presidential decree. In this case, the shortage shall be paid by the State.

Article 42(Collection of Initiation Fees) #

In case the union area is altered, and there is land newly included, a union may collect initiation fees from the owner of such newly included land as provided for in the articles of association of a union.

Article 43(Imposition of Penalty) #

(1) A union may impose penalty on its members as provided for in the articles of association of a union.

(2) The requirements of imposition of penalty and the limit in the amount thereof are specified by the Presidential Decree.

Article 44(Filing for Objection) #

(1) In case a person on whom a union imposes money, labor, or goods has an objection to such imposition, he/she may file an objection to the union president within twenty days of the date of receiving such notification.

(2) Upon receiving the objection in paragraph (1), the union president shall determine the suitability of the objection within twenty days.

(3) A person who wishes to appeal the decision of a union president shall file an appeal with the Minister of Agriculture and Forestry within fourteen days of receiving a written decision.

(4) The Minister of Agriculture and Forestry, upon receiving the application for the decision under the provision of paragraph (3), shall make a decision within twenty days of the date of receiving such application and notify the union president and the applicant accordingly.

Article 45(Delegation of Collection of Amount Imposed) #

A union may delegate the collection of expenses or other money imposed on a union member to a Gu, Si, or Gun. In such case, the union shall pay commission equal to four thousandth of the money collected by the Gu, Si, or Gun.

Article 46(Collection Method for Amount Imposed) #

The urging, disposition for failure of payment, and handling of and overpayment of union expenses and other amount imposed by a union shall comply with the examples of collection of local taxes.

Article 47(Fiscal Year) #

The fiscal year of a union shall follow the fiscal year of the State.

Article 48(Accounting) #

(1) The accounts of a union shall be integrated accounting and shall be

classified into current account and business account for accounting by district.

(2) Funds for each department under the provision of paragraph (1) shall not be mutually misused.

Article 49(Budget) #

(1) A union shall prepare its business plan and budget every fiscal year and shall go through a resolution of the general meeting and obtain authorization from the Minister of Agriculture and Forestry one month before the beginning of the year.

(2) Paragraph (1) shall apply to the revision of the business plan and budget.

Article 50(Continuing Expenditure) #

(1) In case there is a business with expenditure continuing beyond one fiscal year, the union may set up continuing expenditure. In such case, such expenditure shall go through a resolution of the general meeting and obtain approval from the Minister of Agriculture and Forestry in advance.

(2) The limit of continuing expenditure under the provision of paragraph (1) shall be five years from the relevant fiscal year.

Article 51(Reserve Fund) #

(1) The union may set up a reserve fund to appropriate it for the expenditure that is not included in the budget or the expenditure exceeding the budget. A resolution from a general meeting shall be passed to set up a reserve fund.

(2) The expenditure of a reserve fund shall be reported to and approved by the next general meeting.

Article 52(Debt) #

(1) If deemed necessary, a union may have long-term or temporary debt after obtaining approval from the Minister of Agriculture and Forestry.

(2) A temporary debt under the provision of paragraph (1) shall be repaid in the current year. In case of failure to repay in the current year because of lack of cash, however, the temporary debt may be carried over to the next year.

Article 53(Prescription) #

The provisions of Articles 71 ~ 73 of the Budget and Accounts Act shall apply to the rights of a union with purpose of demanding the fulfillment of a debt and to the term, suspension, or discontinuance of the rights' negative prescription to the union.

Article 54(Settlement of Accounts) #

A union shall prepare a settlement of accounts (including property lists in a business report) in each fiscal year, obtain approval in the general meeting, report it to the Minister of Agriculture and Forestry by April 30 of the following year, and announce the summary of a settlement.

Article 55(Provisions of Accounting, Remuneration, Etc.) #

The union president shall determine the financial guarantee and remuneration of the treasurer, executives, and employees of the union in compliance with the standard set up by the Minister of Agriculture and Forestry.

Article 56(Maintenance of Facilities) #

(1) The union president shall maintain in good faith the facilities within the union area.

(2) The union president may, upon recognizing the need for the protective maintenance of farmland improvement facilities such as a reservoir, etc., take the following measures:

1. Restriction or prohibition of entrance and exit for a person with purpose other than irrigation or drainage

2. Prohibition of using explosive, harmful chemicals, or fishing net for purposes other than fishing or installation of facilities

(3) In case of taking measures in paragraph (2), the union president shall post a notice board displaying such intent in advance at the farmland improvement facilities.

Article 57(Use of Facilities for Other Purpose) #

(1) A union may use farmland improvement facilities for other purposes as long as there is no disruption in use by a union member.

(2) Regarding the use for other purposes under the provision in paragraph (1), the details of use, charge for usage, and other important matters shall be prescribed by an the articles of association.

Article 58(Grounds for Dissolution) #

(1) A union shall be dissolved under any of the following cases:

1. If the general meeting resolves to dissolve the union

2. If it is merged

3. If the Minister of Agriculture and Forestry orders the dissolution of the union

(2) In case a union is to be dissolved under any of the grounds specified in paragraph (1), the reason shall be restricted to the fact that the purpose of establishment thereof cannot be accomplished.

Article 59(Prior Authorization of Dissolution, Merger, and Split-off) #

To dissolve a union (case specified in Article 58 (1), subparagraph 3), the resolution shall be made at a general meeting, and the authorization of the Minister of Agriculture and Forestry shall be obtained in advance.

Article 60(Notice of Dissolution) #

When dissolution is authorized by the Minister of Agriculture and Forestry, such shall be notified without delay.

Article 61(Liquidation) #

(1) The union shall be liquidated in case of the dissolution of the union except merger.

(2) The union president shall become the liquidator in case of paragraph (1), except in the case of a liquidator being appointed at a general meeting.

(3) The liquidator shall inspect the status of assets owned by the union immediately upon his/her inauguration and prepare a list of assets, determine the disposal method for the assets for approval in the general meeting, and report to the Minister of Agriculture and Forestry.

(4) The liquidator shall not distribute the union’s remaining assets unless and until the union’s obligations are performed.

(5) The residual property after liquidation, if any, shall be disposed of in accordance with the provisions of the articles of association.

Article 62(Merger) #

(1) In case either party of the merging unions continues to exist after the merger, the union shall request authorization for the amendment of the articles of association together with a written merger resolution from each related union.

(2) The Minister of Agriculture and Forestry shall -- following the authorization specified in paragraph (1) -- immediately announce the intent of continuance of existence and amendment in the articles of association for the union that continues to exist after the merger and the intent of dissolution after the merger for the union that ceases to exist after the merger.

Article 63(Consolidation) #

(1) To establish a new union by merger, the members of an establishment committee with fifteen or more members each from each related union jointly prepare a business plan, its articles of association, a member list, a ledger of land, and other documents prescribed by the decree of the Ministry of Agriculture and Forestry to apply for authorization of establishment of a union by merger with the Minister of Agriculture and Forestry. In case of the appointment of an establishment committee member, the provisions in Article 27 shall apply.

(2) The application for authorization of establishment in paragraph (1) shall be accompanied by a written merger resolution from each related union.

(3) The Minister of Agriculture and Forestry shall, following the authorization specified in paragraph (1), immediately announce the intent of continuance of existence and amendment in the articles of association for the union that continues to exist after the merger and the intent of dissolution after the merger for the union that ceases to exist after the merger.

Article 64(Split-off) #

(1) For the split-off of a union, the scope of rights and obligations of the union established after the split-off shall be resolved at a general meeting.

(2) In case a resolution is passed at a general meeting under the provision in paragraph (1), the fifteen or more members of an establishment committee appointed at a general meeting among the union members shall jointly prepare the documents prescribed in paragraph (1) and apply to the Minister of Agriculture and Forestry for authorization of establishment of a union by a split-off as per the latter part of the provisions in Article 63 (1).

(3) The application for authorization of establishment as per paragraph (2) shall be accompanied by a written split-off resolution from each related union.

(4) The Minister of Agriculture and Forestry shall -- following the authorization specified in paragraph (2) -- immediately announce the intent of establishment of a union by a split-off.

Article 65(Objection of Creditor to Merger or Split-off) #

(1) The union shall -- upon obtaining authorization under Article 59 regarding the merger or split-off -- prepare a property list within fourteen days of obtaining the authorization and keep the list posted for more than twenty days.

(2) Within the announcement period in paragraph (1), the union shall announce to the creditors the intent that an objection shall be submitted within a certain period in case the creditors have an objection, and serve peremptory notice to each creditor that already knows about the intent. In this case, the submission period for such objection shall be more than one month.

(3) In case the creditors fail to submit an objection to the resolution within the period specified in paragraph (2), they are deemed to have approved the resolution of merger or split-off.

(4) In case creditors submit an objection, the resolution of merger or split-off shall not take effect until the union pays its debts or provides equivalent security.

Article 66(Registration of Merger or Split-off) #

In case of merger or split-off, the registration of alteration under Article 15 (2) shall be submitted for a union that continues to exist after the merger, and the registration of establishment under Article 15 (1), for a union established after the merger or split-off at the place where the main office is located to take effect.

Article 67(Succession to Rights and Obligations) #

The union continues to exist after merger, and the union established after the merger shall generally succeed the rights and obligations of the union after it ceases to exist because of the merger.

Article 68(Compliance with the Civil Law) #

In relation to the dissolution and liquidation of a union, the provisions in Articles 81, 85, 86 ~ 92, 94, and 95 in the Civil Law apply.

Article 69(Establishment and Purpose) #

(1) Agricultural Development Corporation (hereinafter referred to as "Corporation") is established by merging the Union of Land Improvement Associations and Groundwater Development Corporation to perform the overall farmland improvement project, agriculture mechanization project, and farmhouse improvement project, foster model agricultural communities, and support the union operation.

(2) The Corporation shall generally succeed the rights and obligations of the Union of Land Improvement Associations and Groundwater Development Corporation.

Article 70(Place of Business) #

(1) The Corporation shall have its principal place of business in Seoul.

(2) The Corporation may have branch offices or liaison offices and farm implement operation and maintenance offices and their branches if necessary and with the approval of the Minister of Agriculture and Forestry.

Article 71(Area of Business) #

The Corporation shall operate nationwide.

Article 72(Capital) #

(1) The Corporation’s capital shall be 20 billion won, which shall be provided in full by the government in the form of cash or goods.

(2) The payment period and method shall go through review in the Cabinet meeting and determined by the President.

(3) The property to be succeeded by the Corporation under the provision of Article 69, paragraph (2) shall be evaluated based on the current book value as of December 31, 1969. The succeeded property is considered the contribution by the government at the time of establishment of the Corporation and regarded as paid capital at the time of establishment.

(4) The property at the time of establishment of the Corporation shall be reevaluated within one year of the date of establishment as prescribed by the Presidential Decree.

Article 73(Articles of Association) #

(1) The articles of association of a union shall contain the following descriptions:

1. Purpose

2. Name

3. Address of the principal place of business

4. Matters concerning organization

5. Matters concerning capital

6. Matters concerning executives and employees

7. Matters concerning the board of directors

8. Matters concerning business

9. Matters concerning accounting

10. Matters concerning the agricultural development bond

11. Method of public notice

12. Other matters necessary

(2) Authorization from the Minister of Agriculture and Forestry is required to amend the articles of association of the Corporation.

Article 74(Registration) #

(1) A corporation is duly formed only upon completion of registration of their establishment in the principal place of business as prescribed by the Presidential Decree.

(2) Any and all matters that need to be registered shall not be valid or effective against a third party pending their registration.

Article 75(Appointment of Executives) #

(1) A corporation shall have the following executives:

1. 1 president

2. 2 vice presidents

3. not more than 10 directors

4. 1 auditor

(2) The president of the Corporation, with the recommendation of the Minister of Agriculture and Forestry and after a review in the Cabinet meeting, shall be appointed by the President of the Republic of Korea. The vice president and directors of the Corporation, with the recommendation of the president of the Corporation, shall be appointed by the Minister of Agriculture and Forestry.

(3) The auditor, upon consultation with the Minister of Agriculture and Forestry, shall be appointed by the Minister of Finance.

Article 76(Term of Office for Executives) #

(1) The term shall be four years for the president and the vice president and three years for the auditor.

(2) The term of an executive elected at a by-election shall be the remaining term of his/her predecessor.

Article 77(Duties of Executives) #

(1) The union president shall have overall control over the business affairs of the Corporation and shall represent the Corporation.

(2) The vice president shall assist the president. If the president is unable to perform his/her duties due to unavoidable circumstances, the vice president designated in accordance with the order stipulated by the articles of incorporation shall act on behalf of the president.

(3) A director shall attend the board of directors to review crucial matters of the Corporation. If the president and the vice president are unable to perform their duties due to unavoidable circumstances, a director designated in accordance with the order stipulated by the articles of incorporation shall act on behalf of the President. Note, however, that the directors may take responsibility for the Corporation’s business affairs assigned to each of them as stipulated by the articles of incorporation.

(4) The auditor shall audit the accounting and business affairs of the Corporation.

Article 78(Board of Directors) #

(1) The Corporation shall have the board of directors adopt resolutions on important matters concerning the Corporation’s business affairs as stipulated by the articles of incorporation.

(2) The board of directors shall consist of the president, vice president, and directors. The president shall assume the chairmanship of the meetings.

(3) A directors’ meeting shall be duly constituted when majority of constituents are in attendance. Resolutions shall be adopted based on the affirmative vote of majority of the attendees at the meeting.

(4) The auditor may attend a directors’meeting to state his/her opinion.

Article 79(Status of Executives) #

The executives of the Corporation, subject to penalties under the criminal law and other laws, shall be considered civil servants.

Article 80(Restrictions on Executives’ or Employees’ Holding of Concurrent Office or Running of Competitive Transaction) #

(1)No executive of the Corporation shall engage in businesses for profit other than his/her duties without the approval of the Minister of Agriculture and Forestry.

(2) No executive or employee of the Corporation shall run or work for a business that is in actual competitive relationship with the Corporation.

Article 81(Appointment of Employee and Code of Conduct) #

(1) An employee of a Corporation shall be appointed by the president.

(2) The president shall, based on the resolution by the board of directors and approval from the Minister of Agriculture and Forestry, prescribe matters concerning the code of conduct for executives and employees and appointment of employees.

Article 82(Applicable Provisions) #

The provisions of Articles 31 and 34 shall apply to the grounds for disqualification and responsibilities of an executive of the Corporation.

Article 83(Business) #

A Corporation shall engage in the following business activities to accomplish the purpose under Article 69:

1. Installation of irrigation and drainage facilities

2. Cultivation, arrangement of river, landfill or reclamation

3. Land readjustment

4. Business concerning the opening of a road for farming

5. Replotting involved in a farmland improvement project

6. Business concerning grassland preparation

7. Investigation, survey, and design concerning a farmland improvement project (including grassland preparation)

8. Cadastration of area where the farmland improvement project is implemented

9. Production, supply, purchase, and their aid or operation and maintenance and training of usage skills of farm implements

10. Installation, operation, and investment with regard to farm implement production and service facilities prescribed by the Minister of Agriculture and Forestry

11. Construction and improvement of farmhouses, aid in material supply and technical guidance

12. Matters related to the preparation of model agricultural community

13. Farmland improvement projects performed by a union and technical support to farmland improvement projects

14. Technical support for the maintenance of farmland improvement facilities of a union

15. Helping find materials, etc., necessary for the union business

16. Farmland improvement projects commissioned by the State, local government, union, or land owner

17. Export of services and labors related to a farmland improvement project

18. Project entrusted under laws other than those specified above or project requested by the Minister of Agriculture and Forestry

19. Other business activities to accomplish the purpose of the Corporation

Article 84(Introduction of Foreign Capital) #

(1) To perform the project under Article 83, the Corporation may, with the approval of the government, raise funds from loan or introduce goods or technology from an international institution, a foreign country, or a foreigner.

(2) Concerning the interest rate, method and time of payment, method and time of repayment of principal, etc., regarding the repayment of principal and interest in relation to the introduction of foreign capital under the provisions of paragraph (1), the Corporation shall follow what the government approved.

(3) If necessary, the government may subsidize part of the repayments under the provisions of paragraph (2).

Article 85(Issuance of Agricultural Development Bond) #

(1) If necessary for the project under Article 83, the Corporation may issue agricultural development bonds with the approval of the Minister of Agriculture and Forestry.

(2) Upon approving the issuance of bonds under the provisions of paragraph (1), the Minister of Agriculture and Forestry shall consult with the Minister of Finance.

(3) The government shall guarantee the repayment of the principal of and interest on agricultural development bonds.

(4) The prescriptive period for agricultural development bonds shall be fifteen years for the principal and five years for the interest.

(5) Matters necessary for the issuance of agricultural development bonds shall be prescribed by the Presidential Decree.

Article 86(Budget and Accounting) #

(1) The Corporation’s fiscal year shall coincide with the government’s fiscal year.

(2) Concerning the budget and accounting of the Corporation, the Government-Invested Institution Budget and Accounts Act shall apply except to matters prescribed in this Act.

Article 87(Appropriation of Profits) #

The Corporation shall, if it has net income as a result of the settlement of accounts for each year, appropriate such in the following order:

1. Settlement of deficits brought forward

2. Accumulation of one-half or more of net income until the reserve reaches the total amount of capital

3. Payment to the National Treasury

Article 88(Debt) #

The provisions in Article 52 shall apply to the debt of the Corporation.

Article 89(Financial Guarantee and Remuneration) #

The president shall determine the financial guarantee and remuneration of executives and employees of the Corporation with the approval of the Minister of Agriculture and Forestry.

Article 90(Dissolution) #

The dissolution of the Corporation shall be separately prescribed by the law.

Article 91(Implementation by Request) #

(1) A local government, a union, or twenty or more landowners may select a certain area and request the Minister of Agriculture and Forestry for the implementation of a farmland improvement project as prescribed by the Presidential Decree.

(2) The application under paragraph (1) shall have the consent of at least two-thirds of the persons who meet the requirements concerning the land within the area under the provision of Article 5.

Article 92(Review and Notification) #

(1) Upon receiving the application under the provisions of Article 91, the Minister of Agriculture and Forestry shall review the content of the application and establish a farmland improvement project if he deems the application to be appropriate.

(2) When establishing a plan for a farmland improvement project under the provision of paragraph (1), the Minister of Agriculture and Forestry shall announce such intent without delay and set a period of 10 ~ 20 days to have the persons concerned read the copies of the plan.

Article 93(Objection) #

(1) If the persons concerned have an objection to the plan for a farmland improvement project under Article 92, they may file an objection within 40 days of the date of notification as per Article 92 (2).

(2) In case an objection is filed as per the provision of paragraph (1), the Minister of Agriculture and Forestry shall make a decision and notify the applicant accordingly within 90 days of the date of notification under Article 92 (2).

(3) In case there is no objection within the period in paragraph (1), or the application is dismissed as groundless, the Minister of Agriculture and Forestry shall implement the plan for a farmland improvement project.

Article 94(Implementation Not by Request) #

(1) If necessary to accomplish the purpose in Article 1, the Minister of Agriculture and Forestry may, even if there is no application under the provisions of Article 91, establish a plan for a farmland improvement project and implement a farmland improvement project.

(2) To implement a farmland improvement project under paragraph (1), the Minister of Agriculture and Forestry shall announce the summary of such plan for a farmland improvement project, etc., and obtain the consent of at least two-thirds of the persons who meet the requirements concerning the land within the area under the provision of Article 5.

(2) For the case in paragraph (2), the provisions of Articles 92 (2) and 93 shall apply.

Article 95(Exceptions in the Implementation of the Land Readjustment Project) #

(1) If a land readjustment project is acknowledged to be promoted especially, the Minister of Agriculture and Forestry shall implement a land readjustment project jointly with a local government, notwithstanding the provisions of Articles 91 ~ 94.

(2) If a land readjustment project is to be implemented under the provision of paragraph (1), an overview of the project plan and other necessary matters shall be announced without delay, and a period of 10 or more days shall be set to have the persons concerned read the copies of the plan.

(3) In case the Minister of Agriculture and Forestry and a local government implement a land readjustment project under the provision of paragraph (1), the criteria for the details of business that the State and local government will take charge of shall be prescribed by the Presidential Decree.

Article 96(Change in Plan) #

(1) To change the plan of a land readjustment project, the Minister of Agriculture and Forestry shall prescribe the overview and other necessary matters in the change of the plan of a land readjustment project, except in case of a change of plan of land readjustment implemented under the provisions of Article 95.

(2) In case of a change in the plan of a land readjustment project under the provision of paragraph (1), the consent of at least two-thirds of the persons who meet the requirements under the provision of Article 5 -- concerning the land within the area where the land readjustment project is implemented -- shall be obtained. In case the change in plan consists of only the extension of area where the land readjustment project is implemented, however, only the consent of at least two-thirds of the persons who meet the requirements under the provision of Article 5 concerning the land within the area to be extended is required.

(3) In case of a change in the plan of a land readjustment project under the provision of paragraph (2), the provisions of Articles 92 (2) and 93 shall apply.

Article 97(Combining Land Readjustment with Other Projects) #

A land readjustment project shall be performed in combination with other land improvement projects in case the State performs installation, cultivation, landfill, or reclamation of land improvement facilities under this Act and acknowledges that the combination with a land readjustment project will enhance the effectiveness of the land improvement project and contribute to the rationalization of the agricultural management of the land.

Article 98(Implementation of Emergency Construction) #

The Minister of Agriculture and Forestry shall -- in case natural disaster, extraordinary geographical phenomenon, and other unavoidable disasters occur, and a recovery project in Article 2, subparagraph 1 E needs to be implemented urgently -- implement emergency construction regardless of the provisions under Articles 91 ~ 94.

Article 99(Charges) #

(1) The State may charge part of the expenses of a land improvement project to the Seoul Metropolitan City, city of Busan, or Dos overseeing the area where the land improvement project is implemented by the State as prescribed by the Presidential Decree.

(2) The Seoul Metropolitan City, city of Busan, or Do may collect part of the charges under the provisions of paragraph (1) from persons who meet the requirements under the provision of Article 5 and who benefitted from the land improvement project within the limit of the benefit he/she receives as ordinance according to the standard prescribed by the Presidential Decree.

(3) In case the person who shall pay the charge under the provisions of paragraph (2) is a union member of a union whose area contains all or part of the land where the land improvement project is implemented by the State, the Seoul Metropolitan City, city of Busan, or Do may collect the charge from the union instead of the union member.

Article 100(Distribution Plan of Filled Land) #

(1) The Minister of Agriculture and Forestry shall -- in case of filled land or reclaimed land (hereinafter referred to as "filled land") prepared under the project in Article 2, subparagraph 1 D and which is implemented by the State -- draw up a distribution plan of the filled land and announce the plan before the completion of the project in accordance with the Presidential Decree.

(2) Any person who wishes to receive a share of the filled land under the provisions of paragraph (1) shall apply to the Minister of Agriculture and Forestry in accordance with the Ordinance of the Ministry of Agriculture and Forestry.

(3) Upon receiving the application for shares under the provisions of paragraph (2) and acknowledging that the distribution to the applicant is appropriate, the Minister of Agriculture and Forestry shall issue a notice of distribution to the applicant in accordance with the Ordinance of the Ministry of Agriculture and Forestry.

(4) The Minister of Agriculture and Forestry may have the person who received a notice of distribution under the provisions of paragraph (3) use the land specified in the notice of distribution under the condition prescribed by the Ministry of Agriculture and Forestry by the time ownership is transferred to the person.

Article 101(Management and Disposal of Property Created by the Land Improvement Project) #

(1) The property and rights recorded in the following (hereinafter referred to as "land improvement property") shall be managed and disposed of by the Minister of Agriculture and Forestry:

1. The rights to structure, object, or water created by a land improvement project implemented by the State and which have not been transferred to a union

2. Land created by a project under Article 2, subparagraph 1 D and implemented by the State

3. Land, forest tree, structure, other object, or rights acquired by the State for a land improvement project implemented by the State

4. State-owned land, forest tree, structure, other object or rights determined to be in use for a land improvement project implemented by the State as specified in the Presidential Decree

(2) The State may transfer the land improvement facilities it maintains to a local government or a union where the facilities are located. In this case, the local government or the union that received the facilities shall generally succeed the rights and obligation of the State as created in relation to the installation of the facilities. Note, however, that the scope of the debt to be succeeded by a union from the State is prescribed by the Presidential Decree.

(3) Matters necessary for the management and disposal of land improvement property shall be prescribed by the Presidential Decree.

Article 102(Application of Public Waters Reclamation Act) #

The Public Waters Reclamation Act shall apply to the implementation of a project under Article 2, subparagraph 1 D.

Article 103(Application for Authorization) #

(1) To implement a land improvement project, the local government shall prepare a land improvement project plan and other documents prescribed by the Ordinance of the Ministry of Agriculture and Forestry with the resolution of the assemblies and apply for the authorization of the land improvement project with the Ministry of Agriculture and Forestry.

(2) To apply for authorization in paragraph (1), the local government shall announce the overview and other necessary matters and obtain the consent of at least two-thirds of the persons who meet the requirements under the provision of Article 5 concerning the land within the area where the land improvement project is to be implemented.

Article 104(Review and Notification) #

(1) Upon receiving the application under the provisions of Article 103, the Minister of Agriculture and Forestry shall review the farmland improvement project, determine if he considers the application to be appropriate, and notify the applicant of the result.

(2) If the Minister of Agriculture and Forestry determines the application to be appropriate under the provision of paragraph (1), he shall announce the decision without delay and set a period of 10 ~ 20 days to have the persons concerned read the copies of the farmland improvement project plan.

Article 105(Objection) #

(1) If the persons concerned have an objection to the decision of the Minister of Agriculture and Forestry in relation to the notification under Article 104 (2), they may file an objection within 40 days of the date of such notification.

(2) In case an objection is filed as per the provision of paragraph (1), the Minister of Agriculture and Forestry shall determine if the objection is appropriate and notify the applicant accordingly within 90 days of the date of the notification under Article 104 (2).

(3) In case the Minister of Agriculture and Forestry determines that the objection filed under the provision of paragraph (1) has grounds, he may dismiss the application under Article 103 (1).

Article 106(Authorization of Implementation) #

(1) In case no objection is filed within the period in Article 105 (1), or the application is dismissed as groundless, the Minister of Agriculture and Forestry shall authorize the implementation of the farmland improvement project.

(2) Upon authorizing the implementation of the farmland improvement project, the Minister of Agriculture and Forestry shall announce the authorization without delay.

Article 107(Change in Plan) #

(1) To change the plan for a land improvement project approved under the provisions of Article 106 or discontinue or abrogate a land readjustment project, the local government shall obtain approval from the Minister of Agriculture and Forestry.

(2) In case in paragraph (1), the provisions of Articles 96 (2) and (3) shall apply to a change in the plan of a land improvement project.

(3) Upon giving approval under the provision of paragraph (1), the Minister of Agriculture and Forestry shall announce the approval without delay.

Article 108(Charges) #

(1) A local government may impose part of the expenses paid for a land improvement project on the persons who have benefitted from the land improvement project implemented by the local government as prescribed in the Ordinance.

(2) A local government may impose a special charge on the persons who have distinctively benefitted more than others from the land improvement project implemented by the local government as prescribed in the Ordinance.

(3) In case of the collection of charges in paragraph (2), the provisions of Article 99 (3) shall apply.

Article 109(Applied Provisions) #

The provisions of Articles 44, 97, 98, 100, 101 (excluding Article 101, paragraph (3), and 102 shall apply to the land improvement project implemented by the local government, management and disposal of property created by the land improvement project, and application for objection to the management and disposal of property and imposition of charges.

Article 110(Application for Authorization) #

(1) To implement a land improvement project other than the land improvement project under Article 37, subparagraphs 1, 4, and 6 on a land within the area of a union, the union shall prepare a land improvement project plan, a written resolution of a general meeting, and other documents prescribed by the Ordinance of the Ministry of Agriculture and Forestry and apply for the authorization of implementation of the land improvement project with the Ministry of Agriculture and Forestry except for the case wherein a disaster recovery project under Article 37, subparagraph 5 needs to be implemented urgently because a natural disaster and other unavoidable disaster occurred.

(2) In case the Ministry of Agriculture and Forestry gives authorization to a land improvement project in paragraph (1), the provisions of Articles 103 (2) and 104 ~ 106 shall apply.

Article 111(Change in Plan) #

(1) To change the plan of a land improvement project plan approved under the provisions of Article 110 or discontinue or abrogate a land readjustment project, a union shall -- with resolution from a general meeting -- obtain authorization from the Minister of Agriculture and Forestry.

(2) In case of a change in the land improvement project plan under the provision of paragraph (1),

the provisions of Articles 92 (2), 93, and 96 (2) shall apply.

Article 112(Maintenance Method of Land Improvement Facilities) #

Matters concerning the maintenance of land improvement facilities of a union under the provisions in Article 27, subparagraph 1 shall be implemented in accordance with the standard prescribed in the Ordinance of the Ministry of Agriculture and Forestry. In this case, a project plan shall be prepared, and the authorization of the Ministry of Agriculture and Forestry shall be obtained for the project in relation to the alteration, repair, etc., of land improvement facilities as implemented with financial support from the State.

Article 113(Reporting Completion) #

(1) A union shall -- in case a land improvement project approved by the Ministry of Agriculture and Forestry is completed -- report the completion to the Ministry of Agriculture and Forestry.

(2) The Ministry of Agriculture and Forestry shall -- upon receiving the report in paragraph (1) and reviewing the implementation status of the project and finding it inappropriate -- order the implementation status to be rectified.

Article 114(Applied Provisions) #

The provisions of Articles 98 and 101 (excluding Article 101, paragraph (3)) shall apply to a land improvement project implemented by a union.

Article 115(Application for Authorization) #

(1) To implement a land improvement project, a Corporation shall prepare a land improvement project plan and other documents prescribed by the Ordinance of the Ministry of Agriculture and Forestry and apply for authorization of the land improvement project with the Ministry of Agriculture and Forestry.

(2) For the application for authorization and granting of authorization in paragraph (1), the provisions of Articles 103 (2) and 104 ~ 106 shall apply.

Article 116(Transfer of Facilities) #

(1) The Ministry of Agriculture and Forestry may -- upon completion of a land improvement project implemented by the Corporation -- take the following measures in consultation with the Corporation:

1. In case there is a union within the area where the land improvement facilities are located, have the union take over and manage the land improvement facilities.

2. In case there is no union within the area where the land improvement facilities are located, but there is a union in an area nearby, and having the union take over and manage the land improvement facilities is deemed suitable, the Minister of Agriculture and Forestry may have the union take over and manage the land improvement facilities.

3. In case of underground water development facilities, the Ministry of Agriculture and Forestry may have a Si (including the Seoul Metropolitan City and Busan; the same shall apply hereinafter) or a Gun take over and manage the facilities regardless of the provision of subparagraph 2.

(2) A Si or a Gun that takes over the land improvement facilities under paragraph (1) shall generally succeed the rights and obligation of the Corporation arising in relation to the installation of the facilities.

(3) The Corporation may -- if acknowledged to be necessary -- directly manage and operate the land improvement facilities it installed by obtaining approval from the Minister of Agriculture and Forestry, notwithstanding the provisions in paragraph (1).

Article 117(Implementation of Investigation and Design Project) #

(1) In case the Corporation is entrusted by the Minister of Agriculture and Forestry to perform investigation, survey, design, and project implementation for the land where a land improvement project is to be implemented, the Corporation shall prepare a project implementation plan and obtain authorization from the Minister of Agriculture and Forestry.

(2) Upon obtaining authorization under the provisions in paragraph (1), the Corporation shall have an employee concerned explore the site to investigate correctly if the land improvement project is appropriate including water source and condition of location, prepare the drawing and specification, and obtain authentication of design from the Minister of Agriculture and Forestry.

Article 118(Applied Provisions) #

The provisions of Articles 45, 46, 97, 98, 100, 101 (excluding Article 101, paragraph (3)), 102, 107, 108, and 113 shall apply to the land improvement project implemented by the Corporation or maintenance thereof.

Article 119(Application for Authorization) #

(1) To implement a farmland improvement project for a certain selected area, one or more landowners shall prepare the land improvement project plan, rules (only for the case of joint implementation by several persons), and other documents prescribed by the Ordinance of the Ministry of Agriculture and Forestry and apply for authorization of the land improvement project with the Ministry of Agriculture and Forestry.

(2) The application under paragraph (1) shall obtain the consent of all the persons who meet the requirements concerning the land within the area under the provision of Article 5.

(3) In case the Ministry of Agriculture and Forestry gives authorization for a farmland improvement project in paragraph (2), the provisions of Articles 104 ~ 106 shall apply.

Article 120(Change in Plan or Rules) #

(1) A person who obtained authorization under the provisions of Article 111 but wishes to change the farmland improvement project plan or rules or discontinue or abrogate a farmland improvement project shall obtain authorization from the Minister of Agriculture and Forestry.

(2) Concerning the change of plan of the farmland improvement project plan or rules under the provisions in paragraph (1), the overview of the farmland improvement project plan or rules shall be announced, and consent shall be obtained from all the persons who meet the requirements concerning the land within the area under the provision of Article 5. In case the change in plan consists of only the extension of area where the land readjustment project is implemented, however, only the consent of all the persons who meet the requirements under the provision of Article 5 concerning the land within the area to be extended is required.

(3) A person wishing to obtain authorization for the change in rules in relation to the belonging of rights and obligation, abrogation of a fadrmland improvement project, or reduction in the area where a farmland improvement project is implemented shall obtain consent from a creditor, if any. If it is not possible to obtain consent, however, a statement of reason may substitute the consent.

(4) Upon granting authorization for the change of the farmland improvement project plan or rules or discontinuance or abrogation of a farmland improvement project in paragraph (1), the Minister of Agriculture and Forestry shall announce such fact without delay.

Article 121(Joint Liability of Persons Jointly Implementing a Project) #

In case several persons jointly implement a farmland improvement project, such persons shall be jointly liable for the principal borrowed for the project by the persons jointly implementing a project and the interest thereof and other debts occurring because of the implementation of the farmland improvement project.

Article 122(Applied Provisions) #

The provisions of Articles 102, 104 ~ 106, and 113 shall apply to a farmland improvement project implemented by a landowner.

Article 123(Assignment of Land for Temporary Use) #

(1) A person who implements a farmland improvement project may assign a land for temporary use for the land within the area where the farmland improvement project is implemented -- -- even before the completion of construction in relation to the farmland improvement project -- to substitute the previous land as provided for in the Ordinance of the Ministry of Agriculture and Forestry, if necessary.

(2) Concerning the assignment of land for temporary use in paragraph (1), matters to be specified in a replotting plan shall be considered; the purpose, register, soil property, hydraulics, slope, temperature and other natural conditions, and usage conditions shall be taken into account.

(3) Upon assigning land for temporary use in accordance with the provisions in paragraph (1), a person who implements a farmland improvement project shall notify the person with ownership, superficiaries, leasehold, or rights by the loan of use of the land for temporary use, prior land, and starting date of use.

Article 124(Effect of Assignment of Land for Temporary Use) #

(1) In case there is assignment of land for temporary use under the provisions in Article 123 (1), a person with rights in Article 123 (3) for prior land may use and benefit from the whole or part of the land for temporary use from the starting date of use as notified until there is a notification under the provisions in Article 127 (4) -- with the same condition as that of the prior land -- in accordance with the law or details of the title prescribed in an agreement.

(2) For the case in paragraph (1), a person with rights in Article 123 (3) for prior land shall not use or benefit from the prior land as the contents of his/her rights for the prior land.

(3) In case there is assignment of land for temporary use under the provisions in Article 123 (1), a person with rights in Article 123 (3) for the land for temporary use shall not use and benefit from the land for temporary use as the contents of his/her rights for the land from the starting date of use as notified in accordance with Article 123 (3) until there is a notification under the provisions in Article 127 (4).

Article 125(Loss Compensation, Etc., Due to Assignment of Land for Temporary Use) #

(1) A person who implements a farmland improvement project shall compensate for the loss commonly caused by the assignment of land for temporary use under Article 123 (1).

(2) A person who implements a farmland improvement project may collect the amount equal to the profit gained by the persons who benefitted from the assignment of land for temporary use under Article 123 (1).

Article 126(Replotting Plan) #

(1) In a replotting plan, the following matters shall be specified as provided for in the Ordinance of the Ministry of Agriculture and Forestry:

1. Replotting design

2. Statement of replotting for each lot

3. Statement of settlement

4. Statement of land with no replotting assigned and other land subject to special treatment

5. Other matters prescribed by the Ordinance of the Ministry of Agriculture and Forestry

(2) Concerning a replotting plan, the replotted land shall be equal to a prior land with the purpose, register, soil property, hydraulics, slope, temperature and other natural conditions, and usage conditions of the prior land taken into account. The prior land shall be land whose purpose in the register is farmland, fields, and paddies or land that is actually cultivated as farmland, fields, and paddies if the purpose in the register is not farmland, fields, or paddies.

(3) In case the Minister of Agriculture and Forestry acknowledges the replotting to be necessary to rationalize the apicultural management of a farmer, replotting may be determined without the provisions in the first part of paragraph (2).

(4) A person who may receive replotting shall be a landowner on the register. In case actual ownership is changed because of trade, transfer, exchange, subdivision and amalgamation, etc., but registration has not been completed, a person may be estimated as an owner on the register if such fact is verified by the certification of facts from the head of a Gu, a Si, or a Gun having jurisdiction over the land.

(5) When assigning replotted land in accordance with the first part of paragraph (2) and paragraph (3), monetary settlement shall be applied if there is a part that may not be compensated for, a person who owns land measuring 100 pyeong (330.58m2) or less in the replotting plan area, or a person who received 1 section of land but owns the remaining land measuring 100 pyeong or less. In this case, the method and time of payment and collection of the amount shall be specified in the replotting plan.

(6) In case there is restriction on rights other than ownership or disposal for the whole or part of prior land, the replotted land to be exchanged with such land shall have the land or part thereof specified so that it can be an object of restriction on the rights or disposal.

(7) Replotted land shall not have a section with 1 lot number spread over more than two Gus, Sis, Eups, and Myeons.

Article 127(Authorization of Replotting Plan) #

(1) In case a replotting plan is acknowledged to be necessary, a person who implements a farmland improvement project shall prepare a replotting plan without delay and obtain authorization from the Minister of Agriculture and Forestry.

(2) A replotting plan under paragraph (1) shall be prepared to contribute to the rationalization of the agricultural management of a farmer.

(3) To apply for authorization in paragraph (1), a person who implements a farmland improvement project shall announce the overview and other necessary matters for more than fourteen days and obtain the consent of at least two-thirds of the persons who meet the requirements under the provision of Article 5 concerning the land within the area.

(4) Upon authorizing the implementation of the farmland improvement project under paragraph (1), the Minister of Agriculture and Forestry shall announce the authorization without delay and notify the head of a Gu, a Si, or a Gun and the registrar having jurisdiction over the land.

Article 128(Report of Change in Rights) #

In case of transfer, creation, change, or extinction of rights or restriction on disposal with regard to a land within the area where a farmland improvement project is implemented before the authorization in accordance with the provisions of Article 127 (1), the person directly concerned shall report such fact to the person who implements a farmland improvement project.

Article 129(Effect of Disposing Replotted Land and Settlement Amount) #

(1) A replotted land to be distributed in accordance with the replotting plan announced under the provisions in Article 127 (4) shall consider the replotted land as prior land from the next day of notification of the replotting plan except for the case under Article 162 (1).

(2) The provision in paragraph (1) shall have no effect on the rights that wholly belong to the prior land in accordance with the original copy in the administrative or judicial sense.

(3) Upon notification under the provisions of Article 127 (4), a person who implements a farmland improvement project shall pay or collect the settlement amount in accordance with the notified replotting plan.

Article 130(Collection of Replotted Land Disposal Settlement Amount) #

In case a person who implements a farmland improvement project collects the settlement amount from the disposal of replotted land under the provisions of Article 129 (3), the provisions in Article 46 shall apply.

Article 131(Rating of Land Price) #

The price rating of prior land shall be investigated and determined before the commencement of construction, with the price rating of land to be distributed to be investigated and determined after the completion of construction.

Article 132(Resolution of General Meeting of Benefitted Persons) #

(1) The determination of price rating of prior land and land to be distributed shall be subject to the resolution of a general meeting of benefitted persons in each section.

(2) A resolution may be passed by the majority vote of benefitted persons in each section.

(3) Provisions concerning the general meeting of a union shall apply to a general meeting of benefitted persons.

Article 133(Registration by Disposal of Replotting) #

(1) Upon authorization under the provisions of Article 127 (1), a person who implements a farmland improvement project shall immediately entrust or apply for registration of land and building concerning the replotting plan.

(2) In case there is change in the indication of land already registered because of a farmland improvement project even though there is no disposal of replotting, a person implementing a farmland improvement project shall entrust or apply for change in registration of indication of land.

Article 134(Exchange and Subdivision and Amalgamation by Si or Gun) #

(1) A Si (including the Seoul Metropolitan City and Busan; the same applies hereinafter) or a Gun may -- in case of an application from two or more landowners, or if the need is acknowledged even without application -- implement a project in Article 2, subparagraph 1 F (hereinafter referred to as "exchange and subdivision and amalgamation") with authorization from the Minister of Agriculture and Forestry.

(2) An exchange and subdivision and amalgamation application and other documents specified by the Ordinance of the Ministry of Agriculture and Forestry shall be attached to the application for authorization in paragraph (1).

(3) The provisions in Articles 104 ~ 106 shall apply in case the Ministry of Agriculture and Forestry wishes to approve an exchange and subdivision and amalgamation plan in paragraph (1).

Article 135(Exchange and Subdivision and Amalgamation by Si or Gun by Application) #

(1) Two or more landowners may request a Si or a Gun having jurisdiction to rearrange a certain section including the land they cultivate and to implement exchange and subdivision and amalgamation in accordance with the Ordinance of the Ministry of Agriculture and Forestry.

(2) To apply based on the provisions in paragraph (1), consent shall be obtained from at least two-thirds of the persons who meet the requirements under the provision of Article 5 concerning the land within the area.

(3) In case the Si or Gun received the application in paragraph (1), reviews the application, and acknowledges that the application is appropriate, the Si or Gun shall prepare an exchange and subdivision and amalgamation plan without delay. In case the project is passed through other Si or Gun, an exchange and subdivision and amalgamation plan shall be prepared after consultation with the Si or Gun concerned.

(4) In case a Si or a Gun fails to prepare an exchange and subdivision and amalgamation plan within six months of the date of receiving an application under the provisions in paragraph (1), the applicant may request the Minister of Agriculture and Forestry to order the Si or Gun concerned to prepare an exchange and subdivision and amalgamation plan.

(5) In case the Minister of Agriculture and Forestry receives the request in paragraph (4), reviews the request, and acknowledges that the exchange and subdivision and amalgamation project is especially necessary, he may order the Si or Gun concerned to prepare an exchange and subdivision and amalgamation plan.

Article 136(Exchange and Subdivision and Amalgamation by Si or Gun Not by Application) #

In case a Si or a Gun acknowledges that the exchange and subdivision and amalgamation project is especially necessary even without application, even though there is no application under Article 135 (1), it may announce the overview and other necessary matters of an exchange and subdivision and amalgamation plan and prepare the exchange and subdivision and amalgamation plan with the consent of at least two-thirds of the persons who meet the requirements under the provision of Article 5 concerning the land within the area. In this case, an exchange and subdivision and amalgamation plan shall be prepared after consultation with the Si or Gun concerned if the project is passed through other Si or Gun.

Article 137(Principle of Exchange and Subdivision and Amalgamation Plan) #

Upon preparing the exchange and subdivision and amalgamation plan under Articles 135 and 136, a Si or a Gun shall make the land register and the price of land newly obtained by a landowner have no distinctive difference with the land register and price of land that he/she lost.

Article 138(Exchange and Subdivision and Amalgamation by Union) #

(1) To exchange and subdivide and amalgamate certain farmland in a union area, a union may -- with the resolution of a general meeting -- prepare the exchange and subdivision and amalgamation plan and obtain authorization from the Minister of Agriculture and Forestry.

(2) The provisions of Articles 103 (2) and 104 ~ 106 shall apply to an authorization under the provisions in paragraph (1).

Article 139(Method of Determining Exchange and Subdivision and Amalgamation) #

(1) An exchange and subdivision and amalgamation plan shall not be specified for land that is specified by the Ordinance of the Ministry of Agriculture and Forestry as restricted in disposal and land for which the superficies or leasehold is created and whose purpose of rights is for seizure, provisional seizure, or provisional disposal.

(2) For the case of exchange and subdivision and amalgamation plan for the ownership of farmland, the farmland obtained and lost by an owner by exchange and subdivision and amalgamation and time of transferring ownership shall be specified.

(3) In case of paragraph (2), if mortgage, superficies, leasehold, or right of use is created for the land that the owner will lose, the land with which mortgage, superficies, leasehold, or right of use is created for substitution, time of creation, and period when the rights will last, land price, and other conditions shall be specified.

(4) In case of paragraph (2), if the need to create easement by exchange and subdivision and amalgamation is acknowledged, the land to create such easement, easement holder, and time of creation, purpose of easement, and other conditions shall be specified. If a person who currently has easement acknowledges that there is no need to use such rights, such rights and the time of extinction thereof shall be specified.

(5) The method of determining an exchange and subdivision and amalgamation plan and necessary matters other than those prescribed in this Act shall be prescribed by the Presidential Decree.

Article 140(Effect of Exchange and Subdivision and Amalgamation) #

(1) In case a notice is served under the provisions of Articles 134 (2) and 138 (2), ownership is transferred, mortgage, superficies, leasehold, or right of use is created, and easement is either created or rendered extinct by the announced exchange and subdivision and amalgamation plan.

(2) In case mortgage, superficies, leasehold, or right of use is created under the provisions of paragraph (1), prior rights corresponding to such rights shall become extinct.

Article 141(Exchange and Subdivision and Amalgamation of Rights Other Than Ownership) #

The provisions of Articles 139 and 140 shall apply in case of exchange and subdivision and amalgamation concerning superficies, leasehold, or right of use of farmland.

Article 142(Settled Amount) #

(1) In case notice is served under Article 134 (3) or 138 (2), a Si, a Gun, or a union shall pay or collect the settled amount in accordance with the announced exchange and subdivision and amalgamation plan.

(2) The provisions of Article 46 shall apply in case a Si, a Gun, or a union collects the settled amount.

Article 143(Exchange and Subdivision and Amalgamation of Rights for Land Other than Farmland) #

The provisions of Articles 134 ~ 142 shall apply in case of exchange and subdivision and amalgamation performed together with the collectivization of farmland, of rights to land other than farmland, rights to agricultural facilities, and rights to water.

Article 144(Authorization of Implementation of Project) #

To implement the agricultural mechanization project, the Corporation shall prepare the project plan each year as provided for in the Presidential Decree and obtain authorization from the Minister of Agriculture and Forestry.

Article 145(Approval of Investment) #

(1) The Corporation may -- if deemed necessary for the manufacture and supply of agricultural implement -- invest in a manufacturer of agricultural implement (including a foreigner).

(2) To make investment under the provisions of paragraph (1), the Corporation shall obtain approval from the Minister of Agriculture and Forestry.

Article 146(Driver's License for Farm Implement) #

(1) To operate a business involving the service or repair of agricultural implement, a person shall obtain a license from the Minister of Agriculture and Forestry.

(2) To obtain a license under the provisions of paragraph (1), a person shall pass the exam prescribed by the Ordinance of the Ministry of Agriculture and Forestry.

Article 147(Business of Farm Implement Operation and Management Office) #

(1) The farm implement operation and management office shall implement the following businesses:

1. Operation and service of heavy equipment for a farmland improvement project

2. Farm implement rental

3. Providing labor using farm implement

4. Technical training concerning the operation and service of farm implement

(2) Authorization from the Minister of Agriculture and Forestry shall be obtained concerning the limit of the amount that the Corporation collects for the work under paragraph (1), subparagraphs 2 ~ 4.

Article 148(Financial Support from the State) #

If deemed necessary, the State may subsidize or lend all or part of the capital to a person who manufactures and purchases or operates and maintains farm implement as prescribed by the Presidential Decree.

Article 149(Authorization of Implementation of Project) #

(1) To implement a farmhouse improvement project, the Corporation shall prepare the project plan for authorization by the Minister of Agriculture and Forestry.

(2) To grant authorization as per paragraph (1), the Minister of Agriculture and Forestry shall consult with the Minister of Construction.

(3) Upon granting authorization under the provisions of paragraph (1), the Minister of Agriculture and Forestry shall notify the mayor of Seoul Metropolitan City, mayor of Busan, or Do governor accordingly.

(4) The mayor of Seoul Metropolitan City, mayor of Busan, or Do governor shall actively support a farmhouse improvement project implemented by the Corporation and which is within his/her jurisdiction.

Article 150(Establishment of Collectivization Improvement Project) #

(1) If deemed necessary to tidy up the environment in an agricultural community and promote the economic development of the agricultural community through the rationalization of agricultural management, the Minister of Agriculture and Forestry may establish a collectivization improvement project for a farmhouse for a certain area.

(2) The Minister of Agriculture and Forestry shall -- upon preparing a collectivization improvement project under the provisions of paragraph (1) -- announce the project and have the Corporation implement the project.

Article 151(Authorization of Implementation of Collectivization Improvement Project) #

(1) Upon implementing a collectivization improvement project for a farmhouse, the Corporation shall prepare the action plan for authorization by the Minister of Agriculture and Forestry.

(2) To grant authorization in paragraph (1), the Minister of Agriculture and Forestry shall consult with the Minister of Construction.

(3) The Minister of Agriculture and Forestry shall -- upon granting authorization under the provisions of paragraph (1) -- announce the overview of the plan and other matters necessary and notify the head of the Si or Gun concerned.

(4) Upon receiving a notice as per paragraph (3), the head of the Si or Gun shall post such fact in an easily seen place within the area where a collectivization improvement project for a farmhouse is implemented.

Article 152(Financial Support from the State) #

(1) If deemed necessary, the State may subsidize or lend all or part of the capital required to a person who implements a collectivization improvement project for a farmhouse.

(2) The Corporation may receive payment for the materials that it helped find directly from a financial institution as prescribed in the loan policy of a financial institution providing loan in accordance with the provisions of paragraph (1).

Article 153(Installation of Material Manufacturing Plant and Investment) #

If deemed necessary for the mass production and low-cost supply of standardized materials in implementing a farmhouse improvement project, the Corporation may install a manufacturing plant for a farmhouse improvement project or invest in or aid a person who manufactures such materials. In this case, the Corporation shall obtain approval from the Minister of Agriculture and Forestry.

Article 154(Expropriation, Use, Compensation of Land, Etc.) #

(1) A person who implements a farmland improvement project or a farmhouse improvement project may -- if necessary for the implementation of the project -- expropriate, use, or remove or alter the land or an object within the area where the project is implemented.

(2) In case of paragraph (1), the Land Expropriation Act shall apply to the expropriation and use except matters prescribed in this Act. In such case, authorization from the Minister of Agriculture and Forestry shall be deemed acknowledgment of a project under the Land Expropriation Act.

(3) In case the land or an object is removed or altered as per the provisions of paragraph (1), fair compensation shall be given if there is a person who suffers loss because of such action.

Article 155(Temporary Use of Land in Emergency, Etc.) #

(1) The State, local government, union, or Corporation may temporarily use another person's land or use or expropriate earth and rock, bamboos and trees, and other actual objects to prevent the irrigation and drainage facilities, farm-to-market, and other facilities necessary for the preservation or use of farmland (including facilities under construction) being maintained from disasters caused by snowstorm, flood, tidal wave, or damage to land.

(2) A person who suffers loss because of such use or expropriation as per paragraph (1) may claim proper compensation.

Article 156(Loss Compensation for the Person Concerned) #

A person who implements a farmland improvement project or a farmhouse improvement project shall -- in case another person suffers loss caused by the project for reasons other than Article 154 (1) -- make fair compensation for the loss except when the provisions in Article 164 (2) are violated.

Article 157(Determination of Compensation Amount) #

(1) The amount of compensation to be made under the provisions of Articles 154 (2) and (3), 155 (2), 156, or 168 (5) shall be determined by discussion between the parties. In case an agreement has not been reached, or a discussion is not possible, the mayor of Seoul Metropolitan City, mayor of Busan, or Do governor (Minister of Agriculture and Forestry in case a person offering compensation is the mayor of Seoul Metropolitan City, mayor of Busan, or Do governor) makes a decision as provided for in the Presidential Decree.

(2) A person who has an objection to the decision as per the provisions of paragraph (1) may ask lodge an appeal with the Minister of Agriculture and Forestry as provided for in the Presidential Decree.

Article 158(Deposit of Settlement Amount or Condensation Amount) #

(1) If a person who implements a farmland improvement project or a farmhouse improvement project pays the settlement amount determined by a replotting plan or an exchange and subdivision and amalgamation plan, price for land in the section with no accompanying replotting, or compensation amount under the provisions of Articles 154 ~ 156, and the restriction on rights other than ownership or on disposal registration is registered, or the right of pledge is created for the land, object, or rights, the person shall deposit the settlement amount or the compensation amount except when consent is obtained from the person who has the proper rights.

(2) A person who has a right other than ownership in paragraph (1), a person who registers concerning the restriction on disposal, or a person who has a right of pledge may claim his/her right for the deposited settlement amount or compensation amount.

Article 159(Reduction or Reclaiming of Rent for Land, Etc.) #

In case the use of land as the object of superficies, easement, or leasehold is disrupted because of the implementation of a farmland improvement project, the superficiary, easement holder, or leaseholder may claim for the reduction of rent for land, payment for service, or rent for the land or claim for the return of the rent for land, payment for service, or rent for the land.

Article 160(Relinquishment of Rights or Termination of Agreement) #

(1) In case the purpose of creation of superficies or easement or lease or loan of use is not accomplished because of the implementation of a farmland improvement project, the superficiary, easement holder, or leaseholder or the lessee in the loan of use may relinquish his/her right or terminate the agreement.

(2) In case of relinquishment of right or termination of the agreement as per the provisions of paragraph (1), the person who has the right may claim for loss compensation generated by the relinquishment of right or termination of the agreement from the appropriate person who implements a farmland improvement project.

(3) If loss compensation is made under the provisions of paragraph (2), a person who implements a farmland improvement project may make a claim against the landowner as prescribed by the Presidential Decree.

Article 161(Claim for Increase in Rent for Land, Etc.) #

(1) In case the value of land as the object of superficies, easement, or leasehold is increased because of the implementation of a farmland improvement project, the owner or lessor may claim for the increase in payment for rent for land or easement or rental.

(2) In case of a claim made under the provisions of paragraph (1), the superficiary, easement holder, or leaseholder may relinquish his/her right or terminate the agreement to avoid the obligation.

Article 162(Effect of Easement) #

(1) The easement existing on land determined to be included in replotting shall remain as it is on the land after the notice served as per the provisions of Article 127 (4).

(2) If a person who is an easement holder is no longer deemed to require receiving the benefit of exercising the right because of the implementation of a farmland improvement project, the easement becomes extinct.

(3) An easement holder who no longer receives benefit may make a claim for the creation of easement within the limitation of preserving the benefit, except in case of reduction in payment concerning easement by the claim under the provisions of Article 159.

Article 163(Deadline of Claim for Ground Rent) #

In case more than 30 days have passed from the date of notification of replotting plan or authorization of an exchange and subdivision and amalgamation plan, a claim for reduction of ground rent, etc., or refund, relinquishment of right or termination of an agreement, claim for increase in ground rent, etc., and claim for the effect of easement under the provisions of Article 159 or 162 shall not be made except for the case in Article 162 (2).

Article 164(Effect of Notification) #

(1) In case of failure to announce the required matters under the provisions of this Act, such matters shall be neither valid nor effective against a third party.

(2) If the authorization of implementation under the provisions of this Act is announced concerning a farmland improvement project or a farmhouse improvement project, the person who has ownership or other rights to land in the area in related to the notice shall neither change the characteristics of the land nor install a structure without permission from the Minister of Agriculture and Forestry except for the case wherein there is no interference on the project concerned.

Article 165(Transfer, Etc., of National Land) #

(1) If deemed necessary to abolish all or part of a road, an irrigation canal, a drainage, a bank, a ditch, a reservoir, or the riverbed owned by the government, the Minister of Agriculture and Forestry may transfer the national land to a person who implements a farmland improvement project for free as prescribed by the Presidential Decree. To transfer the riverbed, the Minister of Agriculture and Forestry shall consult with the Minister of Construction.

(2) A person who implements a farmland improvement project may donate to the State the land such as a road, an irrigation canal, a drainage, a bank, a ditch, a reservoir, or the riverbed newly constructed during construction that can substitute the land transferred to him/her for free under paragraph (1).

(3) National forest or hybrid land in the enforcement area of a farmland improvement project may be sold to a person who implements a farmland improvement project by a private contract, notwithstanding the provisions in the State Properties Act and Forestry Act.

(4) The proceeds from the sale of the land transferred for free under the provisions of paragraph (1) shall not cover the expendable cost.

Article 166(Subsidy) #

(1) The State may give subsidy to a person who implements a farmland improvement project as prescribed by the Presidential Decree.

(2) A local government may give subsidy to a union or a landowner implementing a project under this Act within its jurisdiction as prescribed by the ordinance.

(3) The subsidy in paragraph (2) may be given in cash or kind.

Article 167(Entrustment of Survey, Design, and Construction Supervision) #

(1) If deemed necessary for the implementation of a farmland improvement project by the union or a landowner, the landowner may consign the survey, design, and construction supervision to the State, Seoul Metropolitan City, city of Busan, Do, or Corporation.

(2) In the case of paragraph (1), the consignor shall shoulder the expenses.

Article 168(Survey, Inspection, Reading of Documents, Etc.) #

(1) The following persons may enter other persons' land to survey and inspect if necessary for the investigation of land, etc., concerning a farmland improvement project when prior notice is served to the occupant of land:

1. Civil servant of the national or a local government

2. Executive or employee of a union or the Corporation

3. Applicant under the provisions of Articles 91 and 119

(2) To take action in paragraph (1), a person in paragraph (1), subparagraph 3 shall obtain permission from the head of a Gu, a Si, or a Gun.

(3) If the notification under the provisions of paragraph (1) may not be given, such fact shall be announced as prescribed by the Ordinance of the Ministry of Agriculture and Forestry.

(4) A person who performs survey or inspection under the provisions of paragraph (1) and who falls under paragraph (1), subparagraphs 1 and 2 shall carry a token to indicate the authority; a person falling under paragraph (1), subparagraph 3 shall carry a certificate together with the permission in paragraph (2) to show them to the person concerned.

(5) In case of loss that commonly occurs because of an action under the provisions of paragraph (1), a person who implements a farmland improvement project shall compensate for such loss.

(6) A person listed in each subparagraph of paragraph (1) may read or copy the necessary document, ledger, or drawings from the registrar, public tax office, or office of Gu, Si, Gun, Eup, or Myeon or request for their copy.

(7) The government office shall respond to any request for reading or copying without delay.

Article 169(Exception of Rearrangement Such as Transfer of Land Register) #

(1) Concerning the rearrangement such as transfer of land register accompanying the disposal of replotting, the provisions in Article 216 of the Local Tax Act and Articles 10 ~ 19 and 28 ~ 31 of the Cadastral Act shall not apply. In case of land division under Article 175 (3), Article 17 of the Cadastral Act shall apply.

(2) In case of report of or application for change in land because of the implementation of a farmland improvement project, the person who implements a farmland improvement project may substitute the landowner regardless of the provisions in relation to farmland tax in the Local Tax Act and the provisions in the Cadastral Act.

Article 170(Discontinuance of Other Registration) #

After the Minister of Agriculture and Forestry approves and announces a replotting plan or an exchange and subdivision and amalgamation plan concerning a farmland improvement project, no other registration may be submitted before the registration of the farmland improvement project is submitted unless the applicant of registration proves that the grounds for registration occurred before the authorization and announcement of a replotting plan or an exchange and subdivision and amalgamation plan by the dated document.

Article 171(Method of Sending Documents) #

If a document does not need to be sent because of the address, and the residence is known, and a person who implements a farmland improvement project makes an announcement instead of sending the document, the document is deemed to have been sent on the date of announcement and considered to have reach the other party within ten days of the date of announcement.

Article 172(Effect on the Successor of Disposal Action, Etc.) #

Disposal and its process and other actions under this act or a provision related to an order under this act shall have effect on the successor of a person having ownership or other rights to land, object, or right concerning the action.

Article 173(Succession of Rights and Obligations) #

The rights and obligations of a person who has ownership or other rights to the land within the enforcement area of a farmland improvement project or a farmhouse improvement project shall be transferred to the successor simultaneously when the ownership or other rights to land are transferred.

Article 174(Calculation of Term) #

The calculation of the term concerning the application for objection under the provisions of this Act does not include the days required for the delivery of the document.

Article 175(Report of Commencement and Completion of Construction, Etc.) #

(1) A person who implements a farmland improvement project shall report the matters specified by the Ordinance of the Ministry of Agriculture and Forestry to the head of a Gu, a Si, or a Gun and registrar before the commencement of the project.

(2) In case of commencement or completion of construction, a person who implements a project in paragraph (1) shall report such fact to the head of a Gu, a Si, or a Gun and registrar without delay.

(3) In case the implementation of construction concerning a farmland improvement project involves disposal of replotting, a person who implements a project shall perform conclusion survey and go through the process of division without delay after the completion of construction.

Article 176(Cadastral Survey) #

A civil servant in civil engineering technology whose duty is related to a farmland improvement project or an employee of the Corporation in civil engineering technology and who passed the screening under the provisions on the cadastral surveyor or a qualifying examination for a registered surveyor or an assistant to a registered surveyor under the Land Survey Act may perform cadastral survey, notwithstanding the provisions in Articles 19 and 20 of the provisions on the cadastral surveyor.

Article 177(Supervision) #

(1) The Ministry of Agriculture and Forestry shall supervise the union and the Corporation.

(2) Under this Act and any and all orders under this Act, the Ministry of Agriculture and Forestry may supervise a person who implements a farmland improvement project, the agriculture mechanization project, and a person who implements a farmhouse improvement project and give orders and take the necessary actions for supervision.

Article 178(Report and Inspection) #

If deemed necessary for the efficient implementation of the project or to determine the progress thereof, the Ministry of Agriculture and Forestry may hear the report of the project or inspect the construction status.

Article 179(Request for Inspection by Union Member) #

(1) In case the execution of business including accounting by a union violates this Act, any order or disposal under this Act, the articles of association or a business plan, a replotting plan, and an exchange and subdivision and amalgamation plan, a union member may -- with the consent of one-tenth of the total number of union members -- request inspection from the Ministry of Agriculture and Forestry on such grounds.

(2) In case of a request under paragraph (1), the Ministry of Agriculture and Forestry shall inspect the business or accounting status of a union.

Article 180(Dismissal of Executive, Etc.) #

(1) In case a violation is found after the inspection under the provisions in Articles 178 and 179, the Ministry of Agriculture and Forestry may order the rectification of the violation.

(2) If a union violates an order in paragraph (1), the Ministry of Agriculture and Forestry may order full or partial change of the executives of the union within the specified period. If the Corporation violates an order in paragraph (1), the Ministry of Agriculture and Forestry may propose or demand the dismissal of the president from the president and the dismissal of an auditor from the Minister of Finance and dismiss a vice president and a director.

Article 181(Cancellation of Resolution, Election, Etc.) #

(1) A union member may -- on the grounds of the calling procedure of a general meeting, method of resolution, or method of electing an executive violating the law or the articles of association -- request the Ministry of Agriculture and Forestry for the cancellation of the resolution, election, or winning of an election with the consent of one-tenth of the total number of union members.

(2) In case of in paragraph (1), the Ministry of Agriculture and Forestry may cancel the resolution, election or winning of an election, if it is deemed that there has been a violation.

Article 182(Dissolution Order of Union) #

The Ministry of Agriculture and Forestry may order the dissolution of a union under any of the following cases:

1. The union conducts a business other than that prescribed in Article 37.

2. The union fails to commence the project more than one year from the date of announcement of authorization of establishment without justifiable reason or suspends the project for a period longer than that prescribed by the Presidential Decree.

3. Its purpose of establishment cannot be accomplished because the union area is determined to be a city planning area, an industrial complex, etc.

Article 183(Delegation of Authority) #

The Ministry of Agriculture and Forestry may delegate part of the authority under the provisions of this Act to the mayor of Seoul Metropolitan City, mayor of Busan, or Do governor as prescribed by the Presidential Decree.

Article 184(Penalty) #

Any person who violates the provisions of Article 164 (2) shall be punished with imprisonment for not more than one year or fine of not more than two hundred thousand won.

Article 185(Same as Before) #

The following persons shall be punished with imprisonment for not more than six months or fine of not more than one hundred thousand won:

1. Person who rejects or interrupts the removal or change of land or object in Article 154 (1)

2. Person who rejects or interrupts a survey or an inspection under Article 168 (1)

3. Person who fails to make a report under the provisions of Article 178, makes a false report, or rejects or interrupts the inspection in Article 178 or submits false inspection data

4. Person who rejects, interrupts, or avoids an inspection under Article 179 (2)

Article 186(Same as Before) #

A person who moves, soils, damages, or removes the notice concerning the implementation of a project under this Act as placed under this Act shall be punished with a fine of not more than thirty thousand won.

Article 187(Same as Before) #

Any executive or employee hired by a person implementing a project under this Act and who prepares false documents intentionally or by negligence after performing survey and design or supervising construction shall be punished with imprisonment for not more than six months or fine of not more than one hundred thousand won.

Article 188(Penalty Against the Employer and Employee) #

If the CEO of a corporation, or a representative of a corporation or an individual, or an employee, or other staff commits an act described in Articles 184 or 185 concerning the task of the corporation or the individual, both the corporation and the individual shall be slapped with penalty as well as a person who committed the act.

Article 189(Fine) #

A union's liquidator violating the provisions in Article 61, paragraphs 3 ~ 5 shall be punished with fine of not more than thirty thousand won.