Act On Special Measures For The Promotion Of Specialized Enterprises, Etc. For Components And Materials


Published: 2009-04-01

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$40 per month, or Get a Day Pass for only USD$9.99.
CHAPTER I GENERAL PROVISIONS
law view
 Article 1 (Purpose)   print
The purpose of this Act is to establish the foundation for the development of components and materials as well as the industries related to facilities for manufacturing components and materials and to foster enterprises specializing in components and materials, thereby contributing to the balanced development of the national economy. <Amended by Act No. 7280, Dec. 31, 2004>
law view
 Article 2 (Definitions)   print
For the purposes of this Act: <Amended by Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007>
1. The term "components and materials" means raw materials and intermediate products used for manufacturing commodities as specified by Presidential Decree;
1-2. The term "facilities for manufacturing components and materials" means facilities for manufacturing, assembling or processing components and materials as specified by Presidential Decree;
2. The term "enterprise specializing in components and materials" means an enterprise whose main business is to manufacture components and materials or facilities for manufacturing components and materials and which fulfills all the following requirements:
(a) An enterprise whose share of sales of components and materials or facilities for manufacturing components and materials in its total sales meets the criteria prescribed by Presidential Decree;
(b) An enterprise not belonging to an enterprise group subject to the limitations on mutual investment under Article 9 (1) of the Monopoly Regulation and Fair Trade Act or an enterprise belonging to an enterprise group subject to the limitations on mutual investment that meets the criteria prescribed by Presidential Decree among enterprise groups subject to the limitations on mutual investment;
3. The term "enterprise specializing in development of technology for components and materials" means an enterprise whose main business is to conduct research on technology for components and materials and to provide technical assistance in producing prototypes and commercialization;
4. The term "reliability" means that the quality or performance of certain components and materials meets the standards required to them for a certain duration under certain conditions;
5. The term "reliability certification" means an act of confirming and verifying reliability of certain components and materials as a result of assessment of the reliability of such components and materials.
CHAPTER II ESTABLISHMENT, ETC. OF BASIC PLAN FOR DEVELOPMENT OF COMPONENTS AND MATERIALS
law view
 Article 3 (Formulation of Basic Plan for Development of Components and Materials)   print
(1) The Government shall formulate and implement a basic plan for the development of components and materials (hereinafter referred to as the "basic plan") to present the direction of the development of the components and materials industry and to establish the foundation for the development of components and materials.
(2) The basic plan shall be prepared by the Minister of Knowledge Economy by integrating sectional plans of each relevant central administrative agency, which shall be confirmed through deliberation by the Components and Materials Development Committee under Article 35 (hereinafter referred to as the "Components and Materials Development Committee"). <Amended by Act No. 8852, Feb. 29, 2008>
(3) The basic plan shall include the following matters:
1. Prospects of the development of components and materials;
2. Trends in global trade and domestic supply and demand for components and materials;
3. Matters concerning the enhancement of technical capabilities, such as securing technology for components and materials;
4. Matters concerning the improvement of reliability;
5. Other matters considered necessary for the enhancement of competitiveness in components and materials.
law view
 Article 4 (Establishment of Implementation Plans)   print
(1) The head of each relevant central administrative agency shall establish and implement an implementation plan for the development of components and materials within his/her jurisdiction (hereinafter referred to as "implementation plan") each year in accordance with the basic plan.
(2) The head of each relevant central administrative agency shall report the results of the implementation of the implementation plan for the preceding year to the Components and Materials Development Committee and shall submit an implementation plan for the following year for deliberation.
(3) Necessary matters concerning the establishment and implementation of implementation plans shall be prescribed by Presidential Decree.
law view
 Article 5 (Preparation of Statistics concerning Components and Materials)   print
(1) The Government may prepare and manage statistics concerning components and materials as well as facilities for manufacturing components and materials for the efficient establishment of the basic plan and implementation plans. <Amended by Act No. 7280, Dec. 31, 2004>
(2) The Statistics Act shall apply mutatis mutandis to the preparation of statistics under paragraph (1). <Amended by Act No. 7946, Apr. 28, 2006>
(3) The scope of the statistics prepared pursuant to paragraph (1), matters subject to survey therefor and other relevant matters shall be prescribed by Presidential Decree.
CHAPTER III FOSTERING, ETC. OF ENTERPRISES SPECIALIZING IN COMPONENTS AND MATERIALS
law view
 Article 6 (Specialized Components and Materials Investment Association)   print
(1) If any of the following persons desires to incorporate an association jointly with any person other than those specified in the following subparagraphs for the purposes of investment in enterprises specializing in components and materials, it shall fully satisfy the requirements for registration prescribed by Presidential Decree with regard to the total amount of contribution, the ratio of equity shares held by general partners, the duration of continuance, etc. and file for registration with the Minister of Knowledge Economy: <Amended by Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007; Act No. 8852, Feb. 29, 2008>
1. A small and medium business start-up investment company under subparagraph 4 of Article 2 of the Support for Small and Medium Enterprise Establishment Act;
2. A person who registered a venture capital business in accordance with Article 3 of the Specialized Credit Financial Business Act;
3. The Korea Development Bank under the Korea Development Bank Act;
4. The Industrial Bank of Korea under the Industrial Bank of Korea Act;
5. Other institution or enterprise specified by Presidential Decree as engaging in investment business or requiring components and materials.
(2) When a person under any subparagraph of paragraph (1) desires to incorporate an association under paragraph (1), it shall submit a plan for incorporation of the association stating the following matters to the Minister of Knowledge Economy: <Amended by Act No. 7280, Dec. 31, 2004; Act No. 8852, Feb. 29, 2008>
1. An overview of business;
2. A plan for contribution;
3. A plan for distribution of earnings;
4. Other matters specified by Presidential Decree.
(3) Each association that has completed the registration in accordance with paragraph (1) (hereinafter referred to as "specialized components and materials investment association") shall use an amount equivalent to, or more than, the ratio prescribed by Presidential Decree, within the extent exceeding 50/100 of its contribution, for investment in enterprises specializing in components and materials. <Amended by Act No. 7280, Dec. 31, 2004>
(4) Each person under any subparagraph of paragraph (1) shall manage the fund contributed to an association for contributors' interests with a duty of care as a good manager and shall not borrow money, guarantee payments, or offer any asset as security in carrying out business affairs of the association.
(5) Except as otherwise provided for by this Act, the provisions governing associations of the Civil Act shall apply mutatis mutandis to specialized components and materials investment associations. <Amended by Act No. 7946, Apr. 28, 2006>
(6) Necessary matters concerning the organization and operation of specialized components and materials investment associations and other relevant matters shall be prescribed by Presidential Decree.
law view
 Article 7 (Special Cases for Contributions by Foreigners)   print
(1) Contributions to specialized components and materials investment associations by foreigners defined in Article 2 (1) 1 of the Foreign Investment Promotion Act are deemed foreign investment defined in subparagraph 4 of the aforesaid Article of the aforesaid Act. <Amended by Act No. 7946, Apr. 28, 2006>
(2) As for the acquisition of stocks of an enterprise specializing in components and materials by a foreigner (referring to a private individual not domiciled or residing in the Republic of Korea for six months or more) or a foreign corporation defined in Article 9 (16) of the Financial Investment Services and Capital Markets Act, Article 168 of the aforesaid Act shall not apply. <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8635, Aug. 3, 2007>
(3) Restrictions may be imposed on the acquisition of stocks of an enterprise specializing in components and materials by a foreigner or a foreign corporation under paragraph (2) by articles of incorporation of the relevant enterprise specializing in components and materials.
law view
 Article 8 (Investment by Funds in Enterprises Specializing in Components and Materials)   print
A person who is responsible for the management of any of the following funds may invest the fund in enterprises specializing in components and materials, or contribute the fund to specialized components and materials investment associations, in accordance with the relevant fund management plan: <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007>
1. A fund established pursuant to an Act listed in the Table 2 annexed to the National Finance Act and specified by Presidential Decree;
2. Any other fund established with purposes similar to those of funds under paragraph (1) and specified by Presidential Decree.
law view
 Article 8-2 (Special Cases for Publicly Offered Specialized Components and Materials Investment Associations)   print
(1) Articles 22 through 27, 29 through 32, 34 through 43, 48, 50 through 53, 56, 58, 60 through 65, and 80 through 83, subparagraphs 2, 3 and 6 through 8 of Article 85, Articles 86 through 95, 181 through 183, 184 (1), (2) and (5) through (7), 185 through 187, 218 through 223, and 229 through 253 of the Financial Investment Services and Capital Markets Act shall not apply to publicly offered specialized components and materials investment associations (referring to specialized components and materials investment associations that are not classified into privately placed funds under Article 9 (19) of the Financial Investment Services and Capital Markets Act; the same shall apply hereinafter) and general partners of such associations.
(2) When the Minister of Knowledge Economy registers an association incorporated through public offering pursuant to Article 6 (1), he/she shall in advance consult with the Financial Services Commission. <Amended by Act No. 8852, Feb. 29, 2008; Act No. 8863, Feb. 29, 2008>
(3) If necessary for protecting public interests or partners of a publicly offered specialized components and materials investment associations, the Financial Services Commission may order the publicly offered specialized components and materials investment associations to submit a report or data on its business and may also authorize the Governor of the Financial Supervisory Service to conduct an inspection on its business. <Amended by Act No. 8852, Feb. 29, 2008>
(4) If a publicly offered specialized components and materials investment association violates this Act or any order or disposition issued or made pursuant to this Act, or violates the Financial Investment Services and Capital Markets Act or any order or disposition issued or made pursuant the aforesaid Act, the Financial Services Commission may request the Minister of Knowledge Economy to cancel the registration of the specialized components and materials investment association or to take other measures necessary for protecting partners of the association, and the Minister of Knowledge Economy shall comply with such request in the absence of extenuating circumstances. In such cases, the Minister of Knowledge Economy shall notify the Financial Services Commission of details of the measures taken. <Amended by Act No. 8852, Feb. 29, 2008>
[This Article Newly Inserted by Act No. 8635, Aug. 3, 2007]
law view
 Article 9 (Joint Research Group for Components and Materials)   print
(1) In order to efficiently support the enhancement of technical capabilities of the components and materials industry, the Minister of Knowledge Economy may organize and operate a joint research group for components and materials (hereinafter referred to as the "Joint Research Group") as a consultative body of research institutes, which shall be comprised of the following institutions: <Amended by Act No. 7219, Sep. 23, 2004; Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 7949, Apr. 28, 2006; Act No. 8852, Feb. 29, 2008>
1. The following government-funded research institutes under the Act on the Establishment, Operation and Fostering of Government-Funded Science and Technology Research Institutions (hereinafter referred to as "government-funded research institutes"):
(a) The Korea Institute of Industrial Technology;
(b) The Electronics and Telecommunications Research Institute;
(c) The Korea Research Institute of Standards and Science;
(d) The Korea Institute of Science and Technology;
(e) The Korea Institute of Machinery and Materials;
(f) The Korea Aerospace Research Institute;
(g) The Korea Institute of Energy Research;
(h) The Korea Electrotechnology Research Institute;
(i) The Korea Research Institute of Chemical Technology;
2. Specific research institutes under Article 2 of the Support of Specific Research Institutes Act as designated by the Minister of Education, Science and Technology;
3. Specialized manufacturing technology research institutes under Article 42 of the Industrial Technology Innovation Promotion Act (hereinafter referred to as "specialized manufacturing technology research institutes") as designated by the Minister of Knowledge Economy;
4. Public-service corporations under the Act on the Establishment and Operation of Public-Service Corporations and other institutions or organizations necessary for supporting the enhancement of technical capabilities of the components and materials industry as designated by the Minister of Knowledge Economy through consultations with the heads of relevant central administrative agencies.
(2) Necessary matters concerning the organization and operation of the Joint Research Group and other relevant matters shall be prescribed by Presidential Decree.
law view
 Article 10 (Activities for Technical Assistance by Joint Research Group)   print
(1) In order to promote a technology development project, etc., any enterprise specializing in components and materials may request the Joint Research Group to provide the following assistance: <Amended by Act No. 7280, Dec. 31, 2004>
1. Dispatching researchers who belong to the Joint Research Group and arranging the dispatch of experts who belong to any institution or organization other than members of the Joint Research Group;
2. Allowing the enterprise to use research equipment and facilities of any member of the joint research task force and providing information;
3. Rendering technical guidance and advice;
4. Other matters specified by Presidential Decree as necessary for the enhancement of technical capabilities.
(2) The Joint Research Group in receipt of a request for assistance under paragraph (1) shall specify the assisting institution, details of assistance, and other necessary matters and shall notify the person who requested such assistance and the assisting institution thereof. In such cases, the head of any member of the Joint Research Group in receipt of such notice shall comply with it, in the absence of extenuating circumstances. <Amended by Act No. 7280, Dec. 31, 2004>
(3) No head of any member of the Joint Research Group shall put its researchers dispatched to an enterprise specializing in components and materials in accordance with paragraph (2) at an unfair disadvantage in his/her status or salary on the ground that he/she has been dispatched to such enterprise. <Amended by Act No. 7280, Dec. 31, 2004>
(4) The Minister of Knowledge Economy shall evaluate the results of technical assistance rended by members of the Joint Research Group to enterprises specializing in components and materials on a comprehensive basis each year. <Amended by Act No. 7280, Dec. 31, 2004; Act No. 8852, Feb. 29, 2008>
(5) The Minister of Knowledge Economy may request the heads of the relevant central administrative agencies specified by Presidential Decree and the Minister of Strategy and Finance to advantageously treat members of the Joint Research Group in the allocation of budget and the agency evaluation according to the results of the evaluation under paragraph (4). <Amended by Act No. 8852, Feb. 29, 2008>
(6) If any member of the Joint Research Group renders assistance as notified pursuant to paragraph (2), the Government may subsidize expenses incurred therein, as prescribed by Ordinance of the Ministry of Knowledge Economy. <Amended by Act No. 7280, Dec. 31, 2004; Act No. 8852, Feb. 29, 2008>
law view
 Article 11 (Assistance to Enterprises Specializing in Development of Technology for Components and Materials)   print
(1) If enterprises specializing in components and materials jointly establish an enterprise specializing in the development of technology for components and materials, the Government may render the following assistance in preference over other assistances: <Amended by Act No. 7946, Apr. 28, 2006>
1. Designating the enterprise as a project entity for the development of technology for components and materials under Article 19 (1) and making contribution to the enterprise pursuant to paragraph (2) of the aforesaid Article;
2. Permitting the enterprise to relocate into an industrial technology complex under Article 2 of the Act on Special Cases for Support of Industrial Technology Complexes;
3. Allowing the enterprise to use research equipment and facilities of any member of the Joint Research Group and providing information;
4. Other matters specified by Presidential Decree.
(2) An enterprise specializing in the development of technology for components and materials desiring to get assistance under paragraph (1) shall meet the criteria prescribed by Presidential Decree in regard to the number of staff taking exclusive charge of the development of technology, etc.
law view
 Article 12 (Training Programs for Technical Professionals, etc.)   print
(1) The Government may designate any of the following persons as an educational or training institution for nurturing technical professionals and improving their technology in relation to the designs, reliability, informatization, infrastructure for the production of components and materials, and other technology necessary for the development of the components and materials industry: <Amended on Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007; Act No. 9369, Jan. 30, 2009>
1. A college (referring to a college, industrial college, junior college, or technical college under subparagraph 1, 2, 4, or 6 of Article 2 of the Higher Education Act; the same shall apply hereinafter) located in an industrial complex in the Seoul Metropolitan Area under subparagraph 1 of Article 2 of the Seoul Metropolitan Area Readjustment Planning Act (referring to an industrial complex under subparagraph 5 of Article 2 of the Industrial Sites and Development Act; the same shall apply hereinafter) which is specified by Presidential Decree, and a college located in any area outside the Seoul Metropolitan Area;
2. The Korea Advanced Institute of Science and Technology under the Korea Advanced Institute of Science and Technology Act and the Gwangju Institute of Science and Technology under the Gwangju Institute of Science and Technology Act;
3. A government-funded research institute;
4. A college or technological research institute in a foreign country that has entered into an agreement on technical education with the Korea Institute for Advancement of Technology under Article 38 of the Industrial Technology Innovation Promotion Act;
5. Other educational or training institutions for the components and materials industry as specified by Presidential Decree.
(2) The Government may subsidize expenses incurred by a person designated pursuant to paragraph (1) in conducting training programs for technical professionals.
(3) If a training program for technical professionals conducted by a person designated pursuant to paragraph (1) is recognized as a training course conducted in compliance with training standards under Article 38 of the Act on the Development of Occupational Abilities of Workers pursuant to Article 24 (1) or (2) of the aforesaid Act, such program may be preferentially treated in subsidizing training expenses or otherwise. <Amended by Act No. 7298, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006>
(4) Necessary matters concerning the requirements and procedure, etc. for the designation under paragraph (1) and necessary matters concerning the disbursement, use, and management of contributions under paragraph (2) shall be prescribed by Presidential Decree.
law view
 Article 13 (Special Cases for Leave of Absence of Public Educational Officials, etc.)   print
(1) Notwithstanding Article 44 (1) of the Public Educational Officials Act or Article 59 (1) of the Private School Act, any of the following persons (hereinafter referred to as "public educational official, etc.") may take a leave of absence from his/her job in order to work for an enterprise specializing in components and materials: <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007>
1. Teaching staff members of a college (including researchers of a college research institute; the same shall apply hereinafter);
2. Researchers of a national or public research institute (including teaching staff members and researchers under Article 15 of the Korea Advanced Institute of Science and Technology Act and Article 14 of the Gwangju Institute of Science and Technology Act; the same shall apply hereinafter).
(2) Notwithstanding Article 45 of the Public Educational Officials Act or Article 59 (2) of the Private School Act, the period of a leave of absence under paragraph (1) shall not exceed three years. In such cases, notwithstanding Article 45 (2) of the Public Educational Officials Act, the period of a leave of absence for a teaching staff member of a college may exceed the remaining period of his/her term of appointment. <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007>
(3) Where teaching staff members or researchers of a college or a national or public research institute take a leave of absence for more than six months pursuant to paragraph (1), the relevant college or national or public research institute is deemed to have an additional prescribed number of teaching staff members or researchers corresponding to the number of the teaching staff members or researchers taking such leave of absence from the date of leave of absence to the expiring date of such leave of absence.
law view
 Article 14 (Special Cases for Holding Concurrent Office or Position by Public Educational Officials, etc.)   print
(1) A public educational official, etc. or a researcher of a government-funded research institute or a specific research institute under Article 2 of the Support of Specific Research Institutes Act may concurrently hold the office or position of the representative, executive, or employee of an enterprise specializing in components and materials, subject to permission from the head of the institution to which he/she belongs. In such cases, the permission may be granted only if the concurrent office or position is not likely to impede the efficiency of his/her performance of duties. <Amended by Act No. 7946, Apr. 28, 2006>
(2) The permission granted by the head of an institution pursuant to paragraph (1) is deemed the permission granted for holding a concurrent office or position pursuant to Article 18 (1) of the Public Educational Officials Act or Article 6 (4) of the Cooperative Research and Development Promotion Act. <Amended by Act No. 7946, Apr. 28, 2006>
law view
 Article 15 (Special Cases for Stock Options)   print
An enterprise specializing in components and materials which is a stock company (excluding stock-listed corporations under Article 9 (15) 3 of the Financial Investment Services and Capital Markets Act) may issue stock options to any of the following persons who has contributed, or is able to contribute, to technological innovation, etc. of the enterprise by a special resolution under Article 434 of the Commercial Act, as stipulated in its articles of incorporation: <Amended by Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 8398, Apr. 27, 2007; Act No. 8635, Aug. 3, 2007>
1. Members of the Joint Research Group;
2. Researches dispatched pursuant to Article 10 (2) or experts in relevant areas who belong to any institution or organization other than members of the Joint Research Group.
law view
 Article 16 (Systematic Production and Management, etc. of Information about Components and Materials)   print
(1) The Government shall promote the following activities for the purposes of a systematic production, management, distribution, and use of information about technology, international trade, production, and markets for the components and materials industry (hereinafter referred to as "information about components and materials"):
1. Collection, analysis, and processing of information about components and materials and establishment of a database;
2. Improvement and expansion of a system for distribution of information about components and materials;
3. Supply of information about enterprises specializing in components and materials and relevant researchers;
4. Other activities specified by Presidential Decree.
(2) The Government may authorize any of the following institutions to conduct the activities under subparagraphs of paragraph (1) and subsidize expenses incurred in connection with such activities: <Amended by Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 9369, Jan. 30, 2009>
1. A government-funded research institute;
1-2. The Korea Institute for Advancement of Technology under Article 38 of the Industrial Technology Innovation Promotion Act;
2. A specialized manufacturing technology research institute;
3. The Korea Trade-Investment Promotion Agency under the Korea Trade-Investment Promotion Agency Act;
4. A business operators' organization under Article 38 of the Industrial Development Act (hereinafter referred to as "business operators' organization");
5. A small and medium enterprise cooperative under the Small and Medium Enterprise Cooperatives Act (hereinafter referred to as "small and medium enterprise cooperative");
6. Other institution, organization, or business operator specified by Presidential Decree as necessary to facilitate the efficient use of information about components and materials.
(3) If necessary to efficiently promote activities under the subparagraphs of paragraph (1), the Government may authorize institutions under the subparagraphs of paragraph (2) to organize and operate a council for information about components and materials.
(4) Necessary matters concerning the disbursement, use, and management of contributions under paragraph (2) shall be prescribed by Presidential Decree.
law view
 Article 16-2 (Measures, etc. for Facilitation of Development of Materials)   print
(1) In order to facilitate the efficient development of materials and the commercialization of materials so developed, the Minister of Knowledge Economy may authorize an institution that falls under any subparagraph of Article 16 (2) and whose achievements in research on materials and whose ability to carry out such research meets the standards prescribed by Ordinance of the Ministry of Knowledge Economy (hereinafter referred to as "institution specializing in materials") to undertake the following activities: <Amended by Act No. 8852, Feb. 29, 2008>
1. Collection, analysis, and processing of information about materials and establishment of a database;
2. Improvement and expansion of a system for distribution of information about materials;
3. Provision of information to enterprises, colleges, and research institutes;
4. Technical assistance in the development and commercialization of materials;
5. Training of professionals for research and development of materials;
6. Establishment of a cooperative system with relevant colleges and research institutes to efficiently promote activities under subparagraphs 1 through 5.
(2) The Minister of Knowledge Economy may require any of the following persons who have carried out research on materials to submit research outcomes obtained as a result of performing the relevant research project and specified by Ordinance of the Ministry of Knowledge Economy (hereinafter referred to as "research outcomes"), such as a research report, to an institution specializing in materials designated by the Minister of Knowledge Economy: <Amended by Act No. 8852, Feb. 29, 2008>
1. A project entity for the development of technology for components and materials under Article 19 (limited to project entities designated by the Minister of Knowledge Economy;
2. The head of a managing research institution under Article 11 of the Industrial Technology Innovation Promotion Act.
(3) The head of an institution specializing in materials in receipt of research outcomes pursuant to paragraph (2) shall consult with each person who has submitted the research outcomes on the timing for disclosure of the research outcomes to the public.
(4) The procedure for, and the method of, the submission of research outcomes and other necessary matters shall be prescribed by Ordinance of the Ministry of Knowledge Economy. <Amended by Act No. 8852, Feb. 29, 2008>
[This Article Newly Inserted by Act No. 8398, Apr. 27, 2007]
law view
 Article 17 (Restructuring, etc. of Enterprises Related to Components and Materials)   print
(1) Where an enterprise carries out a merger under Article 174 of the Commercial Act, a division, divided merger, or physical division under Article 530-2 or 530-12 of the aforesaid Act, or acquires the whole or part of components and materials units from another enterprise for the purpose of specialization or conglomeration of its business (hereinafter referred to as "restructuring"), the Government may provide necessary support thereto. <Amended by Act No. 7946, Apr. 28, 2006>
(2) Any enterprise that carries out restructuring may request the Minister of Knowledge Economy to confirm such restructuring. <Amended by Act No. 8852, Feb. 29, 2008>
(3) When the Minister of Knowledge Economy provides confirmation pursuant to paragraph (2), he/she shall examine in advance whether the restructuring at issue is helpful for enhancing the competitiveness of the relevant industry. <Amended by Act No. 8852, Feb. 29, 2008>
(4) An enterprise that has obtained confirmation pursuant to paragraph (2) may be exempted from the obligation to purchase national housing bonds and urban railroad bonds, as provided by the Housing Act and the Urban Railroad Act. <Amended by Act No. 6916, May 29, 2003; Act No. 7946, Apr. 28, 2006>
(5) Necessary matters concerning the procedure for confirmation under paragraph (2) shall be prescribed by Presidential Decree.
(6) The Government may authorize an institution specified by Presidential Decree to undertake the following activities so as to facilitate restructuring of enterprises specializing in components and materials: <Newly Inserted by Act No. 8398, Apr. 27, 2007>
1. Provision of information about systems related to restructuring and counselling thereon;
2. Arrangement and intermediation of mergers, business transfers, and strategic alliances;
3. Assistance in processing business affairs related to restructuring;
4. Other activities specified by Presidential Decree as necessary for assistance in restructuring of enterprises specializing in components and materials.
law view
 Article 18 (Taxation Support)   print
In order to facilitate the restructuring of enterprises specializing in components and materials for the specialization or conglomeration of their business and to forster enterprises specializing in components and materials as well as those specializing in the development of technology for components and materials, the Government or any local government may provide taxation support as provided for by tax-related Acts.
CHAPTER IV DEVELOPMENT AND COMMERCIALIZATION OF TECHNOLOGY FOR COMPONENTS AND MATERIALS
law view
 Article 19 (Execution, etc. of Projects for Development of Technology for Components and Materials)   print
(1) The Government may designate an institution, organization, or a business entity falling under any of the following subparagraphs as a project entity for the development of technology for components and materials and may authorize it to carry out a project for the development of technology related to components and materials or facilities for manufacturing components and materials (hereinafter referred to as "project for the development of components and materials"): <Amended by Act No. 8398, Apr. 27, 2007>
1. A national or public research institute;
2. A government-funded research institute;
3. A college;
4. A specialized manufacturing technology research institute;
5. An enterprise specializing in components and materials or an enterprise specializing in the development of components and materials;
6. Other institutions, organizations, or business entities related to components and materials or facilities for manufacturing components and materials as specified by Presidential Decree.
(2) The Government may grant contributions to projects carried out for the development of technology for components and materials by a person designated as a project entity for the development of technology for components and materials pursuant to paragraph (1) (hereinafter referred to as "project entity for the development of technology for components and materials").
(3) In granting contributions to projects for the development of technology for components and materials pursuant to paragraph (2), the Government may preferentially grant contributions to projects for the development of technology for components and materials invested by the Korea core Industrial Investment Association under Article 21. <Amended by Act No. 8398, Apr. 27, 2007>
(4) Matters concerning the requirements and procedure for the designation of a project entity for the development of technology for components and materials and necessary matters concerning the disbursement, use, and management of contributions under paragraphs (2) and (3) shall be prescribed by Presidential Decree.
law view
 Article 20 (Commercialization of Results of Development of Technology for Components and Materials)   print
(1) The Government may provide the following support to any enterprise that commercializes results of a project for the development of technology for components and materials: <Amended by Act No. 8398, Apr. 27, 2007; Act No. 8852, Feb. 29, 2008>
1. Granting loans for the production of prototypes and capital investment;
2. Free transfer of intellectual property arising from the project for the development of components and materials, or arrangement of the grant of an exclusive or non-exclusive license therefor;
3. Selection of the components and materials so developed as items eligible for reliability certification;
4. Other matters specified by Ordinance of the Ministry of Knowledge Economy as necessary for the commercialization of results of the development of components and materials.
(2) Necessary matters concerning the procedure for support under paragraph (1) shall be prescribed by Presidential Decree.
law view
 Article 21 (Korea core Industrial Technology Investment Association)   print
(1) In order to efficiently carry out investments in and coordination of project entities for the development of technology for components and materials, persons under subparagraphs of Article 6 (1) and institutions specified by Presidential Decree may establish and operate the Korea core Industrial Technology Investment Association (hereinafter referred to as the "KITIA").
(2) Necessary matters concerning the establishment and operation of the KITIA shall be prescribed by Presidential Decree.
law view
 Article 22 (Universal Compatibility, etc. of Components and Materials)   print
(1) Any of the following persons may make a request for designating components and materials as it considers necessary to be made universally compatible as items requiring universal compatibility: <Amended by Act No. 8852, Feb. 29, 2008>
1. The Joint Research Group;
2. A business operators' organization;
3. A small and medium enterprise cooperative;
4. Other institutions or organizations specified by Ordinance of the Ministry of Knowledge Economy.
(2) Deleted. <by Act No. 7280, Dec. 31, 2004>
(3) In order to efficiently promote the universal compatibility of components and materials, the Government may provide the following support:
1. Financial support for projects for the development of technology for universal compatibility of components and materials;
2. Selection of items eligible for reliability certification of components and materials designated as items for universal compatibility;
3. Granting loans for facilities to enterprises manufacturing components and materials designated as items requiring universal compatibility.
(4) Matters concerning the criteria and procedure for the designation of items requiring universal compatibility under paragraph (1) and necessary matters concerning the guidelines for support under paragraph (3) shall be prescribed by Ordinance of the Ministry of Knowledge Economy. <Amended by Act No. 8852, Feb. 29, 2008>
law view
 Article 23 (Assistance in International Cooperation in Components and Materials Industry)   print
(1) The Government may render necessary assistance so that components and materials, or related technology already developed or currently under development can be adopted as international standards under subparagraph 2 of Article 3 of the Framework Act on National Standards. <Amended by Act No. 7946, Apr. 28, 2006, Act No. 7949, Apr. 28, 2006>
(2) In order to facilitate the development of the components and materials industry, the Government may render necessary assistance to domestic enterprises, colleges, research institutes, or organizations in carrying out the following activities with foreign enterprises, colleges, research institutes, or organizations : <Newly Inserted by Act No. 8398, Apr. 27, 2007>
1. Joint development of technology;
2. Transfer and commercialization of technology;
3. Development of overseas markets;
4. Exchange of human resources, technology, and information;
5. Other activities similar to those under subparagraphs 1 through 4 as specified by Presidential Decree.
(3) Necessary matters concerning guidelines for assistance under paragraphs (1) and (2) shall be prescribed by Presidential Decree. <Amended by Act No. 8398, Apr. 27, 2007>
CHAPTER V ESTABLISHMENT, ETC. OF FOUNDATION FOR RELIABILITY ENHANCEMENT
law view
 Article 24 (Projects for Building Foundation for Reliability Enhancement)   print
(1) In order to enhance the reliability of components and materials, the Government shall promote the following activities (hereinafter referred to as "projects for building the foundation for reliability enhancement"):
1. Development and expansion of equipment and facilities for reliability evaluation;
2. Development and dissemination of standards for reliability evaluation;
3. Training of professionals for reliability evaluation;
4. Efficient use of equipment, facilities, and information for reliability evaluation;
5. Other projects for building the foundation for reliability enhancement as specified by Presidential Decree.
(2) The Minister of Knowledge Economy may designate the following institutions as institutions undertaking projects for building the foundation for reliability enhancement: <Amended by Act No. 7280, Dec. 31, 2004; Act No. 8852, Feb. 29, 2008>
1. National or public research institutes;
2. Government-funded research institutes;
3. Colleges;
4. Specialized manufacturing technology research institutes;
5. Other institutions or organizations specializing in projects for building the foundation for reliability enhancement as specified by Presidential Decree.
(3) Any institution designated pursuant to paragraph (2) to undertake projects for building the foundation for reliability enhancement (hereinafter referred to as "undertaking institution") may render the following assistance to enterprises that develop and manufacture components and materials:
1. Allowing them to use equipment and facilities for reliability evaluation installed through a project for building the foundation for reliability enhancement and providing them with information;
2. Conducting reliability evaluation and analyzing results of such evaluation;
3. Providing technical advice for the enhancement of reliability of components and materials.
(4) In order to efficiently carry out projects for building the foundation for reliability enhancement, each undertaking institution shall promote the following activities:
1. Securing an exclusive space for projects for building the foundation for reliability enhancement and establishing and operating an organization exclusively responsible for such projects;
2. Establishing a cooperative system between undertaking institutions to prevent overlapped investments in equipment and facilities for reliability evaluation;
3. Other matters specified by Presidential Decree as necessary for the efficient use of equipment, facilities and information for reliability evaluation.
(5) Necessary matters concerning the requirements and procedure for the designation of undertaking institutions shall be prescribed by Presidential Decree.
law view
 Article 25 (Reliability Certification)   print
(1) The head of a central administrative agency may directly conduct reliability certification, or may authorize an institution designated by the head of a relevant central administrative agency (hereinafter referred to as "designated certification institution") to conduct reliability certification, in order to enhance the reliability of components and materials within his/her jurisdiction. In such cases, the head of each relevant central administrative agency shall prescribe the areas subject to certification or the scope thereof in designating a certification institution.
<<The provision of this Article relating to the reliability certification directedly administered by the head of a central administrative agency were rendered ineffective by the proviso to Article 2 of the Addenda to Act No. 6418 (Feb. 3, 2001) on Jul. 1, 2009>>
(2) Each head of a relevant central administrative agency and each designated certification institution under paragraph (1) (hereinafter referred to as "reliability certification agency") shall grant reliability certification only when the results of evaluation meet the evaluation standards after conducting the reliability evaluation of relevant components and materials.
(3) Any reliability certification agency may authorize an institution designated by the head of a relevant central administrative agency (hereinafter referred to as "designated evaluation institution") to vicariously carry out some of the business affairs for reliability evaluation under paragraph (2).
(4) Items subject to reliability certification and the evaluation standards shall be prescribed by the head of a relevant central administrative agency having jurisdiction over relevant components and materials and shall be notified to the Minister of Knowledge Economy, who shall collect such items and standards and give public notice thereof. The foregoing shall also apply to any amendment or abolishment thereof. <Amended by Act No. 8852, Feb. 29, 2008>
(5) When a reliability certification agency has granted reliability certification, it shall give public notice of the product name, the manufacturer's name, the location of the factory or place of business, and other necessary facts related to the components and materials.
(6) A reliability certification agency may, if necessary to check whether reliability-certified components and materials constantly maintain the reliability, get access to a factory, place of business, or any other place of the person who obtained reliability certification to conduct an inspection.
(7) Any person who desires to be designated as a designated certification institution or a designated evaluation institution shall meet the standards prescribed by Presidential Decree, such as an organization exclusively responsible for reliability certification or evaluation and evaluation capabilities, which are necessary for carrying out duties of reliability certification or evaluation. <Amended by Act No. 8398, Apr. 27, 2007>
(8) Necessary matters concerning the procedure for designation under paragraphs (1) and (3) shall be prescribed by Presidential Decree. <Newly Inserted by Act No. 8398, Apr. 27, 2007>
law view
 Article 26 (Application for Reliability Certification, etc.)   print
(1) Any person who desires to obtain reliability certification of components and materials shall file an application with a reliability certification agency.
(2) Each reliability certification agency in receipt of an application under paragraph (1) shall begin examination for reliability certification without delay.
(3) Necessary matters concerning application and the procedure for reliability certification and other relevant matters shall be prescribed by Ordinance of the Ministry of Knowledge Economy. <Amended by Act No. 8852, Feb. 29, 2008>
law view
 Article 27 (Indication of Reliability Certification)   print
(1) Any person who has obtained reliability certification may place an indication of reliability certification on the relevant components and materials, packing materials, containers, invoices, factories or places of business, and printed matters for the advertisement of such components and materials, as prescribed by Presidential Decree.
(2) No one shall place any indication of reliability certification or any similar indication thereto, without reliability certification, on the relevant components and materials, packing materials, containers, invoices, factories or places of business, and printed matters for the advertisement of such components and materials.
law view
 Article 28 (Orders to Remove Indication, etc.)   print
(1) If a product with an indication of reliability certification fails to conform to the certification standards or has any curable defect discovered as a result of an inspection under Article 25 (6), the head of a central administrative agency may order the person who has obtained reliability certification to remove, suspend to use, or stop selling such indication, or take other necessary measures.
(2) Each person who has received an order to remove an indication, etc. pursuant to paragraph (1) shall report the results of correction to the head of a relevant central administrative agency within 30 days therefrom.
law view
 Article 29 (Cancellation of Reliability Certification)   print
(1) The head of a relevant central administrative agency may cancel reliability certification, if a person who has obtained reliability certification falls under any of the following subparagraphs: Provided, That the reliability certification must be cancelled if the person falls under subparagraph 1:
1. If the reliability certification has been obtained by fraud or any other wrongful means;
2. If the results of an inspection pursuant to Article 25 (6) reveal serious inconformity with the standards for reliability certification;
3. If the person fails to comply with an order issued pursuant to Article 28 to remove an indication or to take any other measure without any justifiable reason.
(2) If a person who has obtained reliability certification falls under any of the subparagraphs of paragraph (1), any designated certification institution may cancel the reliability certification: Provided, That such reliability certification must be cancelled if the person falls under paragraph (1) 1.
law view
 Article 30 (Cancellation of Designation of Designated Certification Institution or Designated Evaluation Institution)   print
(1) If a person designated as a designated certification institution or designated evaluation institution falls under any of the following subparagraphs, the head of a relevant central administrative agency may cancel the designation or issue an order to suspend its business for a prescribed period not exceeding six months: Provided, That such designation must be cancelled if the person falls under subparagraph 1:
1. If the person obtained the designation by fraud or any other wrongful means;
2. If the person has not performed reliability certification or evaluation for one year or more without any justifiable reason;
3. If the person no longer meets the standards for designation under Article 25 (7);
4. If a defect which is deemed to be caused by intention or by gross negligence of the designated certification institution or designated evaluation institution is found in a reliability-certified product.
(2) Necessary matters concerning guidelines for the cancellation of designation and suspension of business under paragraph (1) shall be prescribed by Presidential Decree.
law view
 Article 31 (Conduct of Reliability Assurance Business)   print
(1) Any person falling under any of the following subparagraphs may conduct a business for the purpose of securing damages suffered by consumers due to any reliability-certified components and materials or any components and materials produced by the manufacturer with the same manufacturing methods or the same quality with the reliability-certified components and materials (hereinafter referred to as "reliability assurance business"): <Amended by Act No. 7280, Dec. 31, 2004; Act No. 7946, Apr. 28, 2006; Act No. 8189, Jan. 3, 2007; Act No. 8398, Apr. 27, 2007>
1. A capital goods mutual aid association under Article 40 (1) 1 of the Industrial Development Act (hereinafter referred to as "capital goods mutual aid association");
2. An insurance company under subparagraph 5 of Article 2 of the Insurance Business Act, which engages in non-life insurance business under subparagraph 3 of Article 2 of the aforesaid Act;
3. The Korea Export Insurance Corporation under the Export Insurance Act.
(2) Any person who engages in reliability assurance business (hereinafter referred to as "reliability assurance business operator") may, if it deems necessary for the operation of such business, request a reliability certification agency to furnish it with data relevant to reliability certification. In such cases, the reliability certification agency so requested shall comply with it in the absence of extenuating circumstances.
(3) The coverage of security of the reliability assurance business, the operation of the business, and other necessary matters shall be prescribed by Presidential Decree.
law view
 Article 32 (Measures for Ensuring Soundness of Reliability Assurance Business)   print
The Minister of Knowledge Economy may, if he/she deems necessary for ensuring the soundness of reliability assurance business, prescribe the method of raising operating funds for the reliability assurance business in which a capital goods mutual aid association engages and the guidelines for the operation of such funds and may also require such association to take measures necessary for ensuring the soundness and stability of the operating funds. <Amended by Act No. 8189, Jan. 3, 2007; Act No. 8852, Feb. 29, 2008>
law view
 Article 33 (Mediation of Disputes Related to Reliability Assurance Business)   print
(1) If a dispute arises between a reliability assurance business operator, an insured, a designated certification institution, a designated evaluation institution, or any other interested party in connection with the implementation of reliability assurance business, the Minister of Knowledge Economy may initiate mediation as may be necessary for the settlement of such dispute. <Amended by Act No. 8852, Feb. 29, 2008>
(2) The Financial Disputes Mediation Committee under Article 51 of the Act on the Establishment, etc. of Financial Services Commission or an incorporated association designated by the Minister of Knowledge Economy pursuant to Article 40 of the Arbitration Act may be authorized to take charge of the mediation of disputes under paragraph (1), as prescribed by Presidential Decree. <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8852, Feb. 29, 2008; Act No. 8863, Feb. 29, 2008>
law view
 Article 34 (Government's Subsidization)   print
(1) The Government may grant subsidies, within the extents of budget, for the funds required for implementing a project for the enhancement of reliability.
(2) Necessary matters concerning the disbursement, use, and management of subsidies under paragraph (1) and other relevant matters shall be prescribed by Presidential Decree.
CHAPTER VI COMPONENTS AND MATERIALS DEVELOPMENT COMMITTEE
law view
 Article 35 (Components and Materials Development Committee)   print
(1) The Ministry of Knowledge Economy shall have a Components and Materials Development Committee to deliberate on the following matters with regard to the development of the components and materials industry: <Amended by Act No. 8398, Apr. 27, 2007; Act No. 9583, Apr. 1, 2009>
1. Evaluation of the basic plan under Article 3 and the compliance status thereof;
2. Evaluation of implementation plans under Article 4 and the compliance status thereof;
3. through 6. Deleted. <by Act No. 7280, Dec. 31, 2004>
7. Measures for the development and supply of components and materials for the execution of a large project feeding the demand for new components and materials;
8. Introduction and alteration of systems for the development of the components and materials industry;
9. Overall coordination of affairs between relevant administrative agencies in relation to the development policies for the components and materials industry;
10. Other matters deemed necessary by the Committee chairperson with regard to the development of the components and materials industry.
(2) The Components and Materials Development Committee shall be comprised of not more than 20 members, including one chairperson.
(3) The Minister of Knowledge Economy shall take the chair of the Components and Materials Development Committee, and other members shall be comprised of the following persons: <Amended by Act No. 8398, Apr. 27, 2007; Act No. 8852, Feb. 29, 2008; Act No. 9583, Apr. 1, 2009>
1. The Vice Minister of Strategy and Finance, the Vice Minister of Knowledge Economy, the Vice Minister of Education, Science and Technology, and other Vice Ministers of central administrative agencies specified by Presidential Decree or public officials equivalent to them;
2. Persons commissioned by the Minister of Knowledge Economy among persons specified by Presidential Decree, such as executives and employees of a business operators' organization or persons who have competent knowledge and experience in the components and materials industry.
(4) The Components and Materials Development Committee shall have a secretary, who shall be appointed by the Minister of Knowledge Economy from among members of the Senior Executive Service in the Minister of Knowledge Economy. <Amended by Act No. 9583, Apr. 1, 2009>
(5) Deleted. <by Act No. 7280, Dec. 31, 2004>
(6) Deleted. <by Act No. 9583, Apr. 1, 2009>
(7) Necessary matters concerning the operation of the Components and Materials Development Committee and other necessary matters shall be prescribed by Presidential Decree. <Amended by Act No. 7280, Dec. 31, 2004; Act No. 9583, Apr. 1, 2009>
law view
 Article 36 (Reporting to the National Science and Technology Council)   print
(1) The Components and Materials Development Committee shall report to the National Science and Technology Council under Article 9 of the Framework Act on Science and Technology the basic plan, the compliance status of implementation plans for the preceding year, and implementation plans for the following year. <Amended by Act No. 7946, Apr. 28, 2006>
(2) Matters reported pursuant to paragraph (1) are deemed to have been passed after deliberation by the National Science and Technology Council under Article 9 of the Framework Act on Science and Technology. <Amended by Act No. 7946, Apr. 28, 2006>
law view
 Article 36-2 Deleted.<by Act No. 9369, Jan. 30, 2009>   print
CHAPTER VII SUPPLEMENTARY PROVISIONS
law view
 Article 37 (Fees, etc.)   print
(1) Any member of the Joint Research Group or any undertaking institution may, when it renders assistance pursuant to Article 10 (1) or 24 (3), collect necessary expenses from the enterprise to which assistance is rendered, as prescribed by Presidential Decree.
(2) Any person who desires to obtain reliability certification under Article 25 shall pay fees to the relevant reliability certification agency, as prescribed by Presidential Decree.
law view
 Article 38 (Reporting and Inspections, etc.)   print
(1) The head of a central administrative agency may require a designated certification institution or designated evaluation institution within his/her jurisdiction to report to him/her on its business or may conduct an inspection on its business. In such cases, the head of each relevant central administrative agency shall notify the Minister of Knowledge Economy of the results of the report or inspection. <Amended by Act No. 8852, Feb. 29, 2008>
(2) The Minister of Knowledge Economy may require a reliability assurance business operator to whom the Government has granted subsidies pursuant to Article 34 to report on its business or may conduct an inspection on its business. <Amended by Act No. 7280, Dec. 31, 2004; Act No. 8852, Feb. 29, 2008>
(3) The Minister of Knowledge Economy may request the Governor of the Financial Supervisory Service under Article 24 of the Act on the Establishment, etc. of Financial Services Commission to provide necessary data concerning the reliability assurance business of a reliability assurance business operator under Article 31 (1) 2. In such cases, the Governor of the Financial Supervisory Service shall comply with such request in the absence of extenuating circumstances. <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8852, Feb. 29, 2008>
(4) Each person who conducts an inspection pursuant to paragraph (1) shall carry with him/her an identification card certifying his/her authority and present it to the persons concerned.
law view
 Article 39 (Hearings)   print
When the head of a central administrative agency intends to make any of the following dispositions, he/she shall hold a hearing:
1. Cancellation of reliability certification under Article 29;
2. Cancellation of the designation of a designated certification institution or designated evaluation institution under Article 30.
law view
 Article 40 (Delegation and Entrustment of Authority)   print
(1) Part of the authority of the Minister of Knowledge Economy or the head of a relevant central administrative agency prescribed in this Act may be delegated or entrusted to the heads of its affiliated agencies, the Administrator of the Small and Medium Business Administration, the Special Metropolitan City Mayor, Metropolitan City Mayors, Do Governors, or the Governor of a Special Self-Governing Province, as prescribed by Presidential Decree. <Amended by Act No. 8852, Feb. 29, 2008; Act No. 9583, Apr. 1, 2009>
(2) Out of the authority vested to the Minister of Knowledge Economy pursuant to this Act, authority over the following matters may be entrusted to the heads of relevant administrative agencies and other corporations or organizations specified by Presidential Decree, as prescribed by Presidential Decree. <Amended by Act No. 8852, Feb. 29, 2008>
1. Preparation of statistics under Article 5;
2. Registration of specialized components and materials investment associations;
3. Evaluation under Article 10 (4).
law view
 Article 41 (Legal Fiction as Public Official in Application of Penal Provisions)   print
Executives and employees of each designated certification institution or designated evaluation institution, or those of a corporation or organization engaging in business affairs entrusted by the Minister of Knowledge Economy pursuant to Article 40 shall be treated as public officials for purposes of applying Articles 129 through 132 of the Criminal Act. <Amended by Act No. 7946, Apr. 28, 2006; Act No. 8852, Feb. 29, 2008>
law view
 Article 42 (Penal Provisions)   print
Any person who places any indication of reliability certification or any similar indication thereto, without reliability certification, on components and materials or any packing materials, containers, invoices, factories or places of business, or printed matters for the advertisement of such components and materials in violation of Article 27 (2) shall be punished by imprisonment with prison labor for not more than two years or by a fine not exceeding ten million won.
law view
 Article 43 (Joint Penal Provisions)   print
If the representative of a corporation or an agent, employee, or servant of a corporation or a private individual commits an offense under Article 42 in the scope of the business of the corporation or the private individual, not only shall such an offender be punished accordingly, but the corporation or the private individual shall be punished by the fine prescribed in the relevant Article: Provided, That the foregoing shall not apply where the corporation or private individual has not neglected to take due care and supervision in connection with the relevant matter in order to prevent such offense.
[This Article Wholly Amended by Act No. 9226, Dec. 26, 2008]
law view
 Article 44 (Fines for Negligence)   print
(1) Any person who refuses, interferes with, or evades a report or inspection under Article 38 (1) or (2) or who has submitted a false report shall be punished by a fine for negligence not exceeding five million won.
(2) Fines for negligence under paragraph (1) shall be imposed and collected by the head of a relevant central administrative agency or the Minister of Knowledge Economy, as prescribed by Presidential Decree. <Amended by Act No. 8852, Feb. 29, 2008; Act No. 9583, Apr. 1, 2009>
(3) through (5) Deleted. <by Act No. 9583, Apr. 1, 2009>
ADDENDA
(1) (Enforcement Date) This Act shall enter into force on April 1, 2001.
(2) (Effective Period) This Act shall remain in force until December 31, 2011: Provided, That the part of Article 25 (1) governing the reliability certification directly conducted by the head of a central administrative agency shall be effective until June 30, 2009. <Amended by Act No. 7280, Dec. 31, 2004>
(3) (Transitional Measures concerning Article 9 of the Framework Act on Science and Technology) "Article 9 of the Framework Act on Science and Technology" in Article 36 shall be construed as "Article 4 of the Special Act on Innovation in Science and Technology" until the day before the effective date of the Framework Act on Science and Technology (Act No. 6353).
(4) (Transitional Measures concerning Penal Provisions) Persons who commit an offense under this Act while this Act is in force shall be governed by this Act even after the lapse of the effective term of this Act.
ADDENDA<Act No. 6916, May 29, 2003>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 13 Omitted.
ADDENDA<Act No. 7219, Sep. 23, 2004>
Article 1 (Enforcement Date)
This Act shall enter into force one month after the date of its promulgation.
Articles 2 through 5 Omitted.
ADDENDA<Act No. 7280, Dec. 31, 2004>
(1) (Enforcement Date) This Act shall enter into force on March 1, 2005: Provided, That the amended provisions of Article 2 of the Addenda to the Act on Special Measures for the Promotion of Specialized Enterprises, etc. for Components and Materials (Act No. 6418) shall enter into force on the date of its promulgation.
(2) Omitted.
ADDENDA<Act No. 7298, Dec. 31, 2004>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 10 Omitted.
ADDENDUM<Act No. 7946, Apr. 28, 2006>
This Act shall enter into force three months after the date of its promulgation.
ADDENDA<Act No. 7949, Apr. 28, 2006>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 7 Omitted.
ADDENDA<Act No. 8189, Jan. 3, 2007>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 7 Omitted.
ADDENDUM<Act No. 8398, Apr. 27, 2007>
This Act shall enter into force six months after the date of its promulgation: Provided, That the amended provisions of subparagraph 1 of Article 8 shall enter into force on the date of its promulgation.
ADDENDA<Act No. 8635, Aug. 3, 2007>
Article 1 (Enforcement Date)
This Act shall enter into force one year and six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 44 Omitted.
ADDENDA<Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 7 Omitted.
ADDENDA<Act No. 8863, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Articles 2 through 5 Omitted.
ADDENDUM<Act No. 9226, Dec. 26, 2008>
This Act shall enter into force on the date of its promulgation.
ADDENDA<Act No. 9369, Jan. 30, 2009>
Article 1 (Enforcement Date)
This Act shall enter into force three months after the date of its promulgation.
Articles 2 through 9 Omitted.
ADDENDUM<Act No. 9583, Apr. 1, 2009>
This Act shall enter into force six months after the date of its promulgation.