Advanced Search

Enforcement Decree Of The Act On Collection And Use Of Donations


Published: 2011-03-29

Subscribe to a Global-Regulation Premium Membership Today!

Key Benefits:

Subscribe Now for only USD$40 per month.
law view
 Article 1 (Purpose)   print
The purpose of this Decree is to prescribe matters delegated by the Act on the Collection and Use of Donations and other matters necessary for the enforcement thereof.
law view
 Article 2 (Registration Offices for Collection)   print
The minimum amount of donations that shall be registered with aregistration office in accordance with Article 4 (1) of the Act on the Collection and Use of Donations (hereinafter referred to as the "Act") shall be ten million won or more, andthe registration officeshall be as follows: <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
1. Where the target amount of donations does not exceed one billion won (excluding cases falling under Article 4 (2) 4 (h) of the Act): A Special Metropolitan City Mayor, Metropolitan City Mayor or Do Governor, or the Governor of aSpecial Self-Governing Province (hereinafter referred to asthe "Mayor/Do Governor") having jurisdiction over the domicile of a fund raiser (referring to the principal place of business if the fund raiser is a juristic person, political party, or other organization; hereinafter the same shall apply);
2. Where a case does not fall under subparagraph 1: The Minister of Public Administration and Security.
law view
 Article 3 (Procedure, etc. for Filing Applications for Registration with Minister of Public Administration and Security)   print
(1) Any person who intends to obtain registration of collection of donations from the Minister of Public Administration and Security in accordance with subparagraph 2 of Article 2 shall submit an application for registration in attached Form 1, specifying the matters set forth in Article 4 (1) of the Act, to the Minister of Public Administration and Security. <Amended by Presidential Decree No. 20741, Feb. 29, 2008; Presidential Decree No. 22764, Mar. 29, 2011>
(2) The application for registration under paragraph (1) shall be accompanied by the following documents:
1. A collection plan, specifying, in detail, matters including the purpose of collection, the types of money and other articles to be collected, the target amount, area, method and period of collection, and the method of safekeeping collected money and other articles;
2. A plan for use of collected money and other articles, specifying, in detail, matters including a statement of estimated expenses of collection, the method of funding such expenses, the method of and period for using collected money and other articles;
3. Location of a collection office, if any;
4. A copy of the articles of association, party constitution, bylaws or rules, and a copy of a document certifying that the relevant organization is officially recognized, such as a certificate of registration of a political party and a certificate of declaration of an organization, if the fund raiser is a corporation, political party, or other organization;
5. A recommendation letter issued by the head of a central administrative agency for registration of collection of donations with respect to the activities that the applicant intends to engage in with the collected money and other articles, if the applicant intends to obtain registration of collection of donations under Article 4 (2) 4 (h) of the Act;
6. A copy of a bankbook issued by a financial company, etc. to be used for receipt of donations. <Amended by Presidential Decree No. 22416, Oct. 1, 2010>
(3) Upon receiving an application for registration of collection of donations under paragraph (1), the Minister of Public Administration and Security shall inspect the following matters and determine whether it is appropriate to grant the registration of collection of donations: <Amended by Presidential Decree No. 20741, Feb. 29, 2008; Presidential Decree No. 22764, Mar. 29, 2011>
1. If the prospective fund raiser is an individual: His/her career history and credit status;
2. If the prospective fund raiser is a corporation or other organization: the value of its assets and credit status, and the career history and credit status of its representative;
3. Whether the prospective fund raiser has the capabilities for the activities that he/she intends to engage in with the collected money and other articles.
(4) When the registration of collection of donations is completed, the Minister of Public Administration and Security shall issue a certificate of registration of collection to the applicant. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
(5) Upon receiving an application for registration under paragraph (2), the Minister of Public Administration and Security shall verify a corporate registration certificate (applicable to corporations only) by sharing administrative information pursuant to Article 36 (1) of the Electronic Government Act. <Amended by Presidential Decree No. 22151, May. 04, 2010; Presidential Decree No. 22416, Oct. 1, 2010; Presidential Decree No. 22764, Mar. 29, 2011>
law view
 Article 4 (Procedure, etc. for Filing Applications for Registration with Mayor/Do Governor)   print
(1) Any person who intends to obtain registration of collection of donations from the Mayor/Do Governor under subparagraph 1 of Article 2 shall submit an application for registration in attached Form 1, specifying the matters set forth in Article 4 (1) of the Act, to the head of the Mayor/Do Governor. <Amended by Presidential Decree No. 22764, Mar. 29, 2011>
(2) Article 3 (2) through (5) shall apply mutatis mutandis to the application for registration under paragraph (1). In such cases, the "Minister of Public Administration and Security" shall be construed as the "Mayor/Do Governor". <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
law view
 Article 5 (Registration of Changes in Registered Matters)   print
(1) Any person who intends to register any change in the registration under the latter part of Article 4 (1) of the Act shall file an application for a revision to the registration with a registration office. <Amended by Presidential Decree No. 22764, Mar. 29, 2011>
(2) The provisions of Article 3 (3) through (5) shall apply mutatis mutandis to the application for a revision to the registration under paragraph (1). In such cases, the "Minister of Public Administration and Security" shall be construed as a "registration office."<Amended by Presidential Decree No. 20741, Feb. 29, 2008>
law view
 Article 6 (Organization of Deliberative Committee on Donations)   print
(1) The Deliberative Committee on Donations that the Minister of Public Administration and Security shall have under his/her control pursuant to Article 5 (3) of the Act (hereinafter referred to as the "Committee") shall be comprised of 17 members or less, including one chairperson and two vice chairpersons. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
(2) The Minister of Public Administration and Security shall take the chair of the Committee, and the Vice Minister of Public Administration and Security and a member of the National Assembly recommended by the Speaker of the National Assembly among members of the Government Administration and Local Autonomy Committee of the National Assembly shall serve as vice committee chairpersons. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
(3) Committee members shall be commissioned by the Minister of Public Administration and Security from among Vice Ministers of ministries, members of the National Assembly, and other persons who have profound knowledge and experience. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
(4) The term of office of non-public official members shall be two years, which is renewable for only one further term.
(5) The Committee shall have one secretary who shall be responsible for dealing with administrative affairs of the Committee and who shall be appointed by the Minister of Public Administration and Security from among public officials of the Ministry of Public Administration and Security. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
law view
 Article 8 (Meetings)   print
(1) The chairperson shall convene and preside over meetings.
(2) Meetings of the Committee shall be duly formed to open with the presence of the majority of incumbent members and may adopt resolutions by the affirmative vote of at least two-thirds of the members present at the meeting.
(3) No member may participate in deliberation on a matter in which he/she has an interest.
law view
 Article 9 (Hearing Opinions, etc.)   print
The chairperson may, if deemed necessary for deliberation by the Committee, summon a public official or expert concerned to make an appearance before the Committee to hear his/her opinion or request an institution or organization concerned to submit materials and its opinion.
law view
 Article 10 (Allowances, etc.)   print
Allowances may be paid to the Committee members present and a public official or expert who makes an appearance before the Committee pursuant to Article 9 within budgetary limits: Provided, That the same shall not apply to public officials concernedwho have made an appearance in direct connection with their assignments.
law view
 Article 11 (Detailed Operating Rules)   print
In addition to the matters prescribed by this Decree, matters necessary for the operation of the Committee shall be prescribed by the chairperson, subject to the resolution of the Committee.
law view
 Article 12 (Organization and Operation of Deliberative Committee on Donations of Local Government)   print
(1) The Deliberative Committee on Donations that shall be established under each Mayor/Do Governor and the head of a Si/Gun/autonomous Gu pursuant to Article 5 (3) of the Act shall be comprised of 15 members or less, including one chairperson and one vice chairperson. <Amended by Presidential Decree No. 22764, Mar. 29, 2011>
(2) The Mayor/Do Governor shall serve as the chairperson of the Committee in cases of a City/Do and the head of a Si/Gun/autonomous Gu shall serve as chairperson in cases of a Si/Gun/autonomous Gu, and the administrative Deputy Mayor/Deputy Do Governor shall serve as vice chairperson of the Committee in cases of City/Do and the deputy head of a Si/Gun/autonomous Gu shall serve as vice chairperson in cases of a Si/Gun/autonomous Gu.
(3) Committee members shall be appointed or commissioned by a competent Mayor/Do Governor or the head of a competent Si/Gun/Gu from among public officials, and persons of knowledge and experience.
(4) Non-public official members shall serve a term of two years and may serve two consecutive terms once.
(5) The Committee shall have one secretary who shall perform administrative duties of the Committee and who shall be appointed by a competent Mayor/Do Governor or the head of a competent Si/Gun/Gu from among public officials of a relevant City/Do or Si/Gun/autonomous Gu.
(6) Articles 7 through 11 shall apply mutatis mutandis to the Deliberative Committee on Donations of a City/Do or Si/Gun/autonomous Gu.
law view
 Article 13 (Restriction on Collection of Donations by the State, etc.)   print
"Corporation or organization established with an investment or contribution from the State or a local government provided for by Presidential Decree" in the proviso to Article 5 (1) of the Act refers to a corporation or organization that is not under the actual command or control of the head of a State agency or a local government with respect to appointment and removal of the representative of the corporation or organization, supervision over business affairs, approval of budgets, personnel management, and other matters.
law view
 Article 14 (Reception of Voluntary Donations for Designated Use)   print
(1) Cases in which the receipt of voluntary donations for the use or purpose specifically designated is allowed pursuant to Article 5 (2) 1 of the Act are as follows:
1. Wherethe receipt of voluntary donations is necessary in order for the head of a State agency to achieve administrative objectives or for a corporation or organization established with an investment or contribution from the State to achieve the objectives of the establishment of such corporation or organization and the Deliberative Committee on Donations under Article 6 (1) has deliberated upon it.;
2. Where the receipt of voluntary donations is necessary in order for the head of a local government to achieve administrative objectives or for a corporation or organization established with an investment or contribution from a local government to achieve the objectives of the establishment of such corporation or organization and the Deliberative Committee on Donations under Article 12 (1) has deliberated upon it.
(2) Any person who is to make a voluntary donation in accordance with paragraph (1) shall deliver a letter of donation for a specifically designated use in attached Form2 to the head of the State agency or the local government or the representative of the corporation or organization established with an investment or contribution from the State or a local government, to which he/she is willing to make the donation.
(3) The head of a State agency or a local government and an agency affiliated to the local government, or the representative of a corporation or organization established with an investment or contribution from the State or the local government shall, when he/she accepts a voluntary donation pursuant to paragraph (1), notify the Minister of Public Administration and Security without delay of the fact or report it to such Minister. In such cases, the local government, an agency affiliated to the local government, or a corporation or organization established with an investment or contribution from the local government shall forward such notice or report through the Mayor/Do Governor. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
law view
 Article 15 (Organization and Operation of Deliberative Committee on Donations for Reception of Comforts)   print
(1) "Organs prescribed by Presidential Decree" in Article 5 (3) 2 of the Act refers to the following organs:
1. The following organs prescribed by the Minister of National Defense:
(a) The Ministry of National Defense Headquarters;
(b) The Joint Chiefs of Staff;
(c) The ROK-US Combined Forces Command;
(d) Military units and affiliated agencies under the direct command of the Ministry of National Defense;
(e) Headquarters of each armed forces and military units and agencies under the command of a general of each branch of the armed forces of each service;
2. Regional and higher police agencies;
3. Regional coast guard headquarters and higher coast guard agencies;
4. Regional correction headquarters under control of the Minister of Justice pursuant to the Act on the Establishment of Correctional Institution Guard Units.
(2) Article 6 shall apply mutatis mutandis to the organization and operation of the Deliberative Committee on Donations established in each organ under any subparagraph of paragraph (1).
law view
 Article 16 (Inspection, etc.)   print
(1) "Amount prescribed by Presidential Decree" in the proviso to Article 9 (1) of the Act means five billion won.
(2) The identification card of an officer for an inspection under Article 9 (2) of the Act shall comply with attached Table 3.
[This Article Wholly Amended by Presidential Decree No. 22416, Oct. 1, 2010.]
law view
 Article 17 (Disposal of Donations upon Suspension of Collection, etc.)   print
(1) Any person who intends to obtain approval for disposal or use of collected donations in accordance with Article 10 (2) or the proviso to Article 12 (1) of the Act shall submit a plan for disposal or use of donations in attached Form 4 to a competent registration office. <Amended by Presidential Decree No. 22764, Mar. 29, 2011>
(2) Any person who has obtained approval for disposal or use of collected donations in accordance with Article 10 (2) or the proviso to Article 12 (1) of the Act shall report the results of such disposal or use of donations to a competent registration office without delay, upon completion of the disposal or use of donations.
law view
 Article 18 (Application of Rate of Appropriation for Collection Expenses)   print
"Rate prescribed by Presidential Decree" in Article 13 of the Act means rates prescribed in attached Table 1.
law view
 Article 19 (Duty to Keep and Disclose Account Books)   print
(1) Eachfund raiser shall keep account books in attached Forms 5 through 7 in accordance with Article 14 (1) of the Act at a location where the collection of donations is carried on.
(2) Eachfund raiser or his/her employee shall, whenever he/she receives or disburses donations, prepare and keep a receipt or other document evidencing the transaction in accordance with Article 7 (2) or 14 (1) of the Act.
(3) Pursuant to Article 14 (2) of the Act, each fund raiser shall, when he/she suspends or completes collection of donations, has expended collected donations, or expended them for any other purpose in accordance with the proviso to Article 12 (1) of the Act, notify arelevantregistration office of the following facts without delay and post such facts on the fund raiser's Internet web site for at least 14 days so that the general public can peruse them:
1. Name or title of the fund raiser;
2. Date and serial number of registration;
3. Total amount or quantity of donations collected;
4. Details of use of donations.
(4) Eachfund raiser shall, when a period set for collection ends or the amount of a collection target has been attained, discontinue the collection immediately and submit a report on the completion of collection of donations in attached Form 8 toa registration office within 30 days from the date on which the collection is so discontinued.
(5) Each fund raiser shall endeavor to keep donators and other people informed of the current status of collection by disclosing the details of collection and use of donations on the fund raiser's Internet web site or by any other means, and eachregistration office shall, pursuant to Article 7 of the Official Information Disclosure Act, disclose the general status of registration for collection of donations and cancellation thereof, details of collection and use, approval for disposition or use of donations.
law view
 Article 20 (Imposition of Obligation of Accounting Audit)   print
(1) Pursuant to Article 14 (3) of the Act, each fund raiser shall retain a certified public accountant registered pursuant to Article 7 of the Certified Public Accountant Act or an auditor under Article 3 of the Act on External Audit of Stock Companies (hereinafter referred to as "accounting auditor") for accounting audit within 30 days from the date on which donations are completely expended.
(2) Each fund raiser shall submit a report on details of collection and use of donations in attached Form 9 to the registration office along with an accounting audit report prepared by an accounting auditor within 60 days from the date on which donations are completely expended: Provided, That if the amount of donations collected does not exceed 100 million won, retention of an accounting auditor under paragraph (1) and submission of an accounting audit report prepared by an accounting auditor may be omitted, but documents evidencing disbursements, such as receipts for expended donations, shall be submitted instead.
(3) Each Mayor/Do Governor shall forward the report on details of collection and use of donations as submitted by a fund raiser in accordance with paragraph (2) along with a copy of the accounting audit report prepared by an accounting auditor to the Minister of Public Administration and Security without delay. <Amended by Presidential Decree No. 20741, Feb. 29, 2008>
law view
 Article 21 (Public Notification of Registration of Collection)   print
Each registration office shall, whenever it issues a registration certificate for collection of donations pursuant to Article 4 (1) of the Act, cancel the registration pursuant to Article 10 of the Act, or approves the use of donations collected for any other purpose pursuant to the proviso to Article 12 (1) of the Act, publicly notify such facts through the Official Gazette or public gazette concerned.
law view
 Article 22 (Criteria for Imposition of Fines for Negligence)   print
(1) The Criteria for the imposition of fines for negligence prescribed by Article 18 (1) of the Act shall comply with attached Table 2.
(2) The Ministry of Public Administration and Security or the Mayor/Do Governor may aggravate or mitigate a fine for negligence by not more than one half of the amount specified in the criteria for imposition of fines for negligence, taking into consideration of the degree, frequency, motive and consequences of the charged offense: Provided, That the aggravation of fines for negligence shall not exceed the upper limit of the amount of fines for negligence prescribed by Article 18 (1) of the Act.
[This Article wholly amended by Presidential Decree No. 22416, Oct. 1, 2010]
ADDENDUM <Presidential Decree No. 20303, Oct. 4, 2007>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 20741, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 6 Omitted.
ADDENDA <Presidential Decree No. 22151, May. 4, 2010>
Article 1 (Enforcement Date)
This Decree shall enter into force on May 5, 2010.
Article 2 through 4 Omitted.
ADDENDUM <Presidential Decree No. 22416, Oct. 1, 2010>
This Decree shall enter into force on the date of its promulgation.
ADDENDA <Presidential Decree No. 22764, Mar. 29, 2011>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Applicable Cases concerning Matters such as Registration of Collection of Donations)
(1) The amended provisions of Article 3 (1), (3) and (5), Article 4 and Article 5 (1) shall be applicable from the first application for registration of collection of donations or for revision of registration submitted after this Decree enters into force.
(2) The amended provisions of Article 17 (1) shall be applicable from the first plan for disposal or use of donations submitted after this Decree enters into force.