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Enforcement Decree Of The Act On Special Cases Concerning The Regulation And Punishment Of Speculative Acts, Etc.


Published: 2008-12-31

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 Article 1 (Purpose)   print
The purpose of this Decree is to prescribe the matters delegated by the Act on Special Cases concerning the Regulation and Punishment of Speculative Acts, etc. (hereinafter, referred to as the "Act"), and those matters necessary for the enforcement of the Act. <Amended by Presidential Decree No. 14335, Jul. 23, 1994>
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 Article 1-2 (Other Speculation Businesses)   print
The term "businesses determined by the Presidential Decree" as prescribed in Article 2 (1) 1 (d) of the Act refers to one of the following subparagraphs:
1. Wheel-spinning business: the business which has each participant bet money and shoot or throw an arrow, etc., while the wheel is spinning, and then gives prize money according to the symbol hit by the arrow, etc. when the wheel has stopped spinning;
2. Lottery business: the business which gives each participant a ticket with a number on it, and at a fixed time chooses a person to draw the lucky numbers by lottery, and gives prize money to any winner of lottery tickets with these numbers on them according to the designated criteria for paying it;
3. Gift-giving business: the business which gives each participant a ticket with a grade marked, and then gives prize money according to the grade and to the designated criteria for paying it.
[This Article Newly Inserted by Presidential Decree No. 14435, Jul. 23, 1994]
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 Article 2 (Matters to be Changed under Permission in Speculation Business)   print
Matters to be changed under permission pursuant to the provisions of Article 4 (2) of the Act shall be as follows:
1. Change of the name of the business place or the title of the business;
2. Change of the permitted business place in the same place (referring to the interior of the same building or hedge which belongs to the same owner; hereinafter, the same shall apply);
3. Change of the permitted method of business;
4. Change of the permitted prize money (including the items of goods given in lieu of the prize money; hereinafter, the same shall apply) or the change of the table for the awarding rate;
5. Replacement of speculative implements installed under permission or change of the number of the installed implements
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 Article 3 (Requirements for Permission)   print
The term "case deemed particularly necessary" of the requirements for permission indicated in subparagraphs of Article 5 (1) of the Act as prescribed in Article 5 (2) of the Act refers to a case deemed to do no harm to the preservation of public order and good morals, and falls under one of the following subparagraphs: <Amended by Presidential Decree No. 14442, Dec. 23, 1994; Presidential Decree No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
1. Where it is deemed particularly necessary to promote public welfare (related to Article 5 (1) 1 of the Act):
(a) Where the head of the competent central administrative agency deems necessary for the relief of acts of God, natural disasters or other equivalent calamities;
(b) Where it is required to promote any social work which is subsidized or supported by the state or any local government;
(c) Where a public agency intends to prepare revenue resources for public works;
2. Where it is deemed particularly necessary to advertise goods for sale (related to Article 5 (1) 2 of the Act): Where the head of the central administrative agency, Metropolitan City Mayor, Metropolitan City Mayor, or Dogovernor deems it necessary to promote the sale of goods produced in a private company concerned, or sold in a private store concerned with domestic and overseas markets;
3. Deleted; <by Presidential Decree No. 14547, Mar. 6, 1995>
4. Where it is deemed particularly necessary to facilitate the promotion of tourism and attraction of tourists to Korea (related to Article 5 (1) 4 of the Act):
(a) Where it is deemed necessary to facilitate the promotion of tourism and attraction of tourists, where one desires to operate speculative business inside a first-class tourist hotel which operates a tour and lodging business, having previously been registered with the Minister of Culture, Sports and Tourism pursuant to the provisions of Article 4 (1) of the Tourism Promotion Act, and inside the business place of a comprehensive recreation resort operating business with facilities installed for tourists;
(b) Where it is desired to operate speculation business in any overseas ocean-going liner of not less than five thousand tons.
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 Article 4 (Valid Term of Permission)   print
The valid term of permission for each businesses as prescribed in Article 7 (1) of the Act shall be as follows: <Amended by Presidential Decree No. 14335, Jul. 23, 1994>
1. Lottery ticket issuance business, prize competition offer business, and other speculation businesses: ninety days;
2. Deleted. <by Presidential Decree No. 14547, Mar. 6, 1995>
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 Article 5 (Validity Term of Conditional Permission for Business)   print
(1) The valid term of a conditional permission for business as prescribed in Article 8 (1) of the Act shall be less than two months from the issued date of the permission: Provided,That in case where it is deemed that there are unavoidable circumstances, the term may be prolonged only once, within the scope of two months.
(2) The person who has obtained the conditional permission to operate his business as prescribed in Article 8 (1) of the Act shall, upon providing the facilities and equipment necessary for the permission within the period fixed by paragraph (1) of this Article, report it to the Commissioner General of National Police Agency, or to the Commissioner General of the Local Police Agency (hereinafter, referred to as the "permission- granting authority"), pursuant to the Ordinance of the Ministry of Public Administration and Security. <Amended by Act No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
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 Article 6 (Main Facilities, etc. to be Taken Over at Time of Succession to Business)   print
The main facilities and speculative implements to be taken over at the time of the succession of the business, pursuant to the conditions as prescribed by Articles 9 (2) and 13 (4) of the Act, shall be as follows:
1. Speculation business: Facilities and speculative implements in operation after obtaining the permission for each speculation business pursuant to the provisions of Article 4 of the Act;
2. Manufacturing business and selling business of speculative implements: Facilities in operation after obtaining the permission pursuant to the provisions of Article 13 (1) or (2) of the Act, and speculative implements which are being manufactured and sold.
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 Article 7 (Business Methods and Prize Money)   print
The methods of speculation business and the standards for the prize money under Article 11 (1) of the Act are indicated in the annexed Table.
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 Article 8 (Restriction on Speculative Business)   print
The restriction on the business hours, or the management and operation of a business place of speculation business as prescribed in Article 11 (2) of the Act, and other restricted matters of speculation business shall be as follows: <Amended by Presidential Decree No. 14335, Jul. 23, 1994; Presidential Decree No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
1. Common matters:
(a) The businessman may not operate his business in contravention of the business hours determined by the Ordinance of the Ministry of Public Administration and Security;
(b) He may not operate his business outside the permitted place;
2. Lottery ticket issuance business, prize competition offer business, and other speculation businesses:
(a) Deleted; <by Presidential Decree No. 16269, Apr. 30, 1999>
(b) In case where lottery tickets, votes (referring to the tickets specifying any answer, voting method and amount of money which are issued by prize competition offer businessman; hereinafter, the same shall apply to the following provisions), lots, or gift coupons, etc. (hereinafter, referred to as the "participation tickets") are not sold directly but in a designated box office, the designated box office shall be managed pursuant to the Ordinance of the Ministry of Public Administration and Security;
(c) He may not sell participation tickets to minors, or have minors participate in speculation business;
(d) He may not force the purchase of participation tickets;
(e) In case of wheel-spinning business, the following matters as well as items (b) through (d) above shall be observed:
(ⅰ) The number of wheel-spinning implements installed in a business place shall not exceed the number determined by the Ordinance of the Ministry of Public Administration and Security;
(ⅱ) and (ⅲ) Deleted. <by Presidential Decree No. 16269, Apr. 30, 1999>
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 Article 9 (Scope of Persons Engaged in Speculation Business)   print
The term "those engaged in speculative business determined by the Presidential Decree" as prescribed in the main sentence of Article 12 of the Act means agents, servants or other employees, regardless of name, who act for the businessman, or operate the business regularly or temporarily under the instruction of the businessman.
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 Article 10 (Matters Manufacturers and Sellers of Speculative Implements Change under Permission)   print
The matters to be changed under permission pursuant to the provisions of Article 13 (3) of the Act shall be as follows:
1. The change of the name of the business place or trade name;
2. The change of items of goods for manufacture or sale.
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 Article 11 (Inspection of Manufacturer's and Seller's Speculative Implements)   print
The speculative implement to be inspected when it is manufactured (referring to produced, remolded or repaired; hereinafter, the same shall apply to the following provisions) by its manufacturer, or it is imported by its seller pursuant to the provisions of Article 15 (1) of the Act, shall be as follows: <Amended by Presidential Decree No. 14335, Jul. 23, 1994>
1. Deleted; <by Presidential Decree No. 14547, Mar. 6, 1995>
2. Speculative implements used in the wheel-spinning business.
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 Article 12 (Speculative Implements Subject to Indication)   print
The speculative implements in which matters were determined by the Ordinance of the Ministry of Public Administration and Security pursuant to the provisions of Article 16 of the Act shall be the same as those inspected pursuant to the provisions of Article 11. <Amended by Presidential Decree No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
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 Article 13 (Matters Observed by Manufacturers and Sellers of Speculative Implements)   print
The matters to be observed by manufacturers and sellers of speculative implements pursuant to the provisions of Article 17 of the Act shall be as follows: <Amended by Presidential Decree No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
1. Manufacturers of speculative implements:
(a) He shall not manufacture any speculative implement in contravention of Acts and subordinate statutes;
(b) When he discovers that the speculative implement brought to him for repair or remodeling has been altered in contravention of Acts and subordinate statutes, he shall report it to the permission- granting authority pursuant to the Ordinance of the Ministry of Public Administration and Security;
(c) When he destroyed any speculative implement at the request of a speculation businessman, he shall report it to the permission- granting authority pursuant to the Ordinance of the Ministry of Public Administration and Security;
(d) He shall enter the matters concerning the manufacture of speculative implements in a ledger and keep it for two years.
2. Sellers of speculative implements:
(a) He shall not sell any speculative implement in contravention of Acts and subordinate statutes;
(b) When he discovers that the speculative implement he sold has been altered in contravention of Acts and subordinate statutes, he shall report it to the permission-granting authority pursuant to the Ordinance of the Ministry of Public Administration and Security;
(c) He shall enter matters concerning the sales of speculative implements in a ledger and keep it for two years.
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 Article 14 (Fees)   print
(1) The fees as prescribed in subparagraphs 1 and 2 of Article 28 of the Act shall be as follows: <Amended by Presidential Decree No. 14335, Jul. 23, 1994; Presidential Decree No. 14547, Mar. 6, 1995>
1. Business permission:
(a) Permission for lottery ticket issuance business and prize competition business: one hundred thousand won;
(b) Permission for other speculation businesses: fifty thousand won;
(c) Permission to manufacture speculative implements: one hundred thousand won;
(d) Permission to sell speculative implements: fifty thousand won.
2. Permission for change:
(a) Permission for change of lottery ticket issuance business and prize competition business: fifty thousand won;
(b) Permission for change of other speculation businesses: twenty-five thousand won;
(c) Permission for change of manufacture of speculative implements: fifty thousand won;
(d) Permission for change of sale of speculative implements: twenty- five thousand won.
3. Report on succession:
(a) Report on succession to lottery ticket issuance business and prize competition business: fifty thousand won;
(b) Report on succession to other speculation businesses: twenty- five thousand won;
(c) Report on succession to the manufacture of speculative implements: fifty thousand won;
(d) Report on succession to the sale of speculative implements: twenty- five thousand won.
(2) The fees for examination and inspection of speculative implements as prescribed in subparagraphs 3 and 4 of Article 28 of the Act shall be determined according to each item of the implements, or each item of examination and inspection by the Ordinance of the Ministry of Public Administration and Security. <Amended by Presidential Decree No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
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 Article 15 (Delegation and Entrustment)   print
(1) The Commissioner General of the National Police Agency shall delegate to the Commissioner General of the Local Police Agency, the authority to permit the sale of speculative implements and to permit changes as prescribed in Article 13 (2) and (3) of the Act, the authority to cancel the permission and to suspend the business as prescribed in Article 21 of the Act, and the authority to hold a hearing concerning the authority delegated among the authorities as prescribed in Article 27 of the Act, pursuant to the provisions of Article 29 (1) of the Act. <Amended by Presidential Decree No. 15598, Dec. 31, 1997; Presidential Decree No. 16269, Apr. 30, 1999>
(2) The Commissioner General of the National Police Agency shall designate the competent professional inspection institution and entrust the inspection of speculative implements, as prescribed in Articles 12-2 (1) and 15 (1) of the Act, to the designated institution pursuant to the provisions of Article 29 (2) of the Act. <Amended by Presidential Decree No. 14335, Jul. 23, 1994>
(3) The professional inspection institution designated by the Commissioner General of the National Police Agency under paragraph (2) above shall make business regulations concerning inspection, and obtain the approval therefor, pursuant to the Ordinance of the Ministry of Public Administration and Security, from the General Commissioner of the National Police Agency. The same shall also apply where the institution changes these regulations. <Amended by Presidential Decree No. 14335, Jul. 23, 1994; Presidential Decree No. 16269, Apr. 30, 1999; Presidential Decree No. 20692, Feb. 29, 2008>
ADDENDA
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures concerning Permission for Casino Business and Chuck-Farthing Business)
(1) The person who has obtained permission to do casino business under the previous provisions at the time this Decree enters into force may be granted permission again under the previous provisions, notwithstanding the amended provisions of subparagraph 3 of Article 3 concerning the requirements for permission.
(2) Notwithstanding the amended provisions of subparagraphs 3 and 4 of Article 3, the person who has obtained permission to do chuck-farthing business under the previous provisions at the time when this Decree enters into force may be granted permission again only one time under the previous provisions after the enforcement date of this Decree.
Article 3 (Transitional Measures concerning Awarding Rate of Chuck- Farthing Machine)
The awarding rate of the prize money of a chuck-farthing machine installed in the chuck-farthing business site under the previous provisions at the time this Decree enters into force shall be adjusted to meet the amended provisions in the annexed Table within the period determined by the Ordinance of the Ministry of Home Affairs.
Article 4 (Transitional Measures concerning Administrative Measures)
The permission given by the administrative agencies such as the Minister of Home Affairs, Seoul Special Metropolitan City Mayor, Metropolitan City Mayor or Dogovernor, the acts performed by other administrative agencies, or various reports and acts to other administrative agencies pursuant to the previous provisions at the time when this Decree enters into force shall be regarded as the acts of, or acts done to, the administrative agencies corresponding to them under this Decree.
Article 5 (Relations with Other Acts and Subordinate Statutes)
If other Acts and subordinate statutes cite or apply mutatis mutandis the previous Enforcement Decree of the Act on the Control of Lottery Ticket Issuance, Prize Competition Offers and Other Speculative Acts, etc. and this Decree includes the provisions corresponding to them, this Decree or the corresponding provisions of this Decree shall be deemed to have been cited or applied mutatis mutandisin lieu of them.
ADDENDA<Presidential Decree No. 13986, Oct. 5, 1993>
(1) (Enforcement Date) This Decree shall enter into force on the date of its promulgation.
(2) (Transitional Measures concerning Method of Chuck-Farthing Business) The person who has obtained permission to do chuck-farthing business under the previous provisions who operates the business, at the time this Decree enters into force, may operate it under the previous provisions until the period needed to repair the chuck-farthing machine determined by the Ordinance of the Ministry of Home Affairs, notwithstanding the amended provisions in the annexed Table.
ADDENDA<Presidential Decree No. 14015, Dec. 6, 1993>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDA<Presidential Decree No. 14335, Jul. 23, 1994>
(1) (Enforcement Date) This Decree shall enter into force on the date of its promulgation.
(2) (Transitional Measures concerning Repeal, etc. of Chuck-Farthing Business) The previous provisions shall apply to the person operating a chuck- farthing business under the provisions of Article 2 (1) of Addenda of the Act, notwithstanding the amended provisions of subparagraph 2 of Article 4, subparagraph 2 (e) of Article 8, subparagraph 3 of Article 8, Articles 11 and 14 (1), and the annexed Table.
ADDENDA<Presidential Decree No. 14442, Dec. 23, 1994>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 and 3 Omitted.
ADDENDA<Presidential Decree No. 14547, Mar. 6, 1995>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Articles 2 through 6 Omitted.
ADDENDUM<Presidential Decree No. 15598, Dec. 31, 1997>
This Decree shall enter into force on January 1, 1998.
ADDENDUM<Presidential Decree No. 16269, Apr. 30, 1999>
This Decree shall enter into force on the date of its promulgation.
ADDENDA<Presidential Decree No. 20692, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation.
Article 2 Omitted.
ADDENDA<Presidential Decree No. 21214, Dec. 31, 2008>
Article 1 (Enforcement Date)
This Decree shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 5 Omitted.