Article 41(Restrictions on Benefits Due to Criminal Punishment) #
(1) Where a current or former member of the armed forces becomes to fall under any subparagraph of Article 38 (1) of the Act, benefits shall be paid after making a reduction classified as follows. In such cases, the benefits which are a veteran's pension shall not be reduced until the month in which the date any reason for reduction arises falls:
1. Where his or her imprisonment without labor or heavier punishment has become final and conclusive due to a reason arising during the period of service (excluding a reason that has arisen due to negligence not related to his or her duties or negligence committed while complying with a justifiable order issued by his or her superior): 1/2 of the amount of benefits;
2. Where he or she is removed from office by a disciplinary action: 1/2 of the amount of benefits;
3. Where he or she is dismissed on disciplinary grounds for receipt of money or valuables, and entertainment, or misappropriation or embezzlement of public funds: 1/4 of the amount of benefits.
(2) The interest to be added to the difference or remaining amount pursuant to Article 38 (2) of the Act and the latter part of paragraph (3) of that Article shall be calculated by applying the highest interest rate among the interest rates of time deposits applied by nationwide banks as of January 1 of each relevant year; and the interest for the period from the month following the month in which the date the retirement benefits or retirement allowances are partially paid falls until the month in which the date a reason for paying the difference or remaining amount arises falls shall be included in the difference or remaining amount on a yearly basis, and the amount of interest thereafter shall be calculated based on such amount.
(3) Pursuant to Article 38 (3) of the Act, where an investigation or criminal trial is under way against a current or former member of the armed forces for committing a crime subject to imprisonment without labor or heavier punishment for a reason arising during the period of service (excluding a reason that has arisen due to negligence not related to his or her duties or due to negligence committed while complying with a justifiable order issued by his or her superior), such person shall be preferentially paid 1/2 of the amount of benefits payable to the person:<Amended on Dec. 29, 2020>
1. Deleted; <Dec. 29, 2020>
2. Deleted; <Dec. 29, 2020>
3. Deleted. <Dec. 29, 2020>
(4) Notwithstanding paragraph (3), in cases of a veteran's pension, a current or former member of the armed forces shall be preferentially paid an amount equivalent to 1/2 of the amount of benefits payable to the person pursuant to Article 38 (3) of the Act, only where a decision on a fugitive warrant and notification is made due to the unknown whereabouts following his or her flight, etc. In such cases, the amount remaining after preferential payment shall be paid when the decision on the fugitive warrant and notification is canceled. <Newly Inserted on Dec. 29, 2020>
(5) The amount remaining after preferential payment under paragraph (3) shall be paid where a current or former member of the armed forces, whose payment has been suspended pursuant to Article 38 (3) of the Act, falls under any of the following: Provided, That in cases falling under subparagraph 1, where any investigation procedure for the relevant case is under way again after a person has been subject to non-transfer or non-prosecution, or where a criminal trial is under way as a prosecution for the relevant case has been instituted, the remaining amount shall not be paid: <Newly Inserted on Dec. 29, 2020>
1. Where he or she is subject to non-transfer or non-prosecution;
2. Where the sentence of imprisonment without labor or heavier punishment is not declared by a court;
3. Where the suspension of the sentence of imprisonment without labor or heavier punishment has been declared by a court and the period of such suspension expires.
(6) Where any reason for restriction on benefits that falls under any subparagraph of Article 38 (1) of the Act arises, the beneficiary or his or her relative shall report such fact to the Minister of National Defense without delay. <Amended on Dec. 29, 2020>
(7) A person who intends to receive the remaining amount pursuant to the main clause of paragraph (5) shall submit to the Minister of National Defense a written claim for the remaining retirement benefits or remaining retirement allowances, along with the documents classified as follows, as prescribed by Ordinance of the Ministry of National Defense: <Amended on Dec. 29, 2020>
1. In cases falling under paragraph (5) 1: A written decision on non-transfer issued by the head of the competent police agency or a written decision on a non-prosecution issued by the head of the competent prosecutors’ office;
2. In cases falling under paragraph (5) 2 or 3: A certificate of criminal trial decision issued by the head of the competent prosecutors’ office.