About 1.31 billion won (USD $1.3 million) will be recovered from the companies that defrauded public organizations of payments for goods or services or government subsidies. A total of 210 million won reward will be paid to the nine people who reported those malpractices to the Anti-Corruption and Civil Rights Commission (ACRC).

 

According to the anti-corruption act of Korea, a person who reported an act of corruption to the ACRC or other competent public organizations may receive a monetary reward up to 2 billion won (4 to 20 percent of the recovered money) when the reporting has contributed "directly to increasing or recovering revenues of a public organization or preventing it from bearing economic costs."

 

Mr. A reported to the ACRC an engineering company that gained illicit benefits in the course of supplying water pipes to a local government. The whistleblowing has led to a recovery of 610 million won from the fraudulent company, and the ACRC decided to offer the whistleblower an 87 million won reward. Those involved in the offence including the chief executive of the company received a criminal penalty for fraud.

 

Construction company B, which won a contract for repairing drain pipes for a city government, conducted the work using a cheaper method than the original plan. An outside supervisor conspired with the company to prepare an inspection report stating that the work had been completed according to the original plan. Meanwhile, they illegitimately obtained the difference of 468 million won from the payment for repair work.

 

As a result of whistleblowing on this misconduct, the total amount of the illicit gain was deducted from the payment while the site manager and the supervisor were subject to criminal punishment for fraud. The ACRC decided to provide the whistleblower with 71.6 million won as a reward.

 

According to the ACRC, whistleblowing cases totaled 117 cases from 2002 to April 2010, resulting in a recovery of more than 18.7 billion won and financial rewards of some 1.9 billion won for whistleblowers. Since the establishment of the ACRC in February 2008, whistleblowers received a 1.1 billion won reward.

 

The ACRC also provides protection for whistleblowers. When whistleblowers have suffered or are expected to suffer disadvantage such as dismissal as a result of their whistleblowing, the ACRC may take measures to guarantee their position, for example, by requesting the organization concerned to reinstate them to their post.

 

If whistleblowers have fear for their physical safety, the ACRC may request the competent police agency to take steps to protect them.