The anti-corruption law, which aims to root out corruption and irregularities in South Korean society, affects 4 million people. (image: Korea Bizwire)
SEOUL, Sept. 29 (Korea Bizwire) — South Korean companies’ entertainment expenses rose 7.7 percent on-year in the first half of the year, despite a draconian anti-graft law that came into force in 2016, a market tracker said Sunday.
A total of 116 large companies spent a combined 149.6 billion won (US$124.6 million) in the January-June period, up from 138.8 billion won a year ago, according to CEO Score.
Compared with two years ago, their entertainment expenses climbed 10 percent, it said.
The figure covered those firms that ranked among the country’s top 500 businesses by revenue and disclosed their entertainment expenditures separately.
Corporate entertainment expenses stood at 157.3 billion won in the first half of 2016, but declined 13.6 percent a year later, after the law became effective.
CEO Score said a considerable number of large companies, including tech giant Samsung Electronics Co. and top automaker Hyundai Motor Co., didn’t disclose their entertainment expenses for the first half, indicating that many big firms had spent more.
The anti-corruption law, which took effect Sept. 28, 2016, bans public servants, educators and journalists from receiving free meals valued over 30,000 won, gifts worth more than 50,000 won and congratulatory or condolence money of more than 100,000 won.
Violators face a maximum sentence of three years in jail and a fine of up to 30 million won.
The anti-corruption law, which aims to root out corruption and irregularities in South Korean society, affects 4 million people.
(Yonhap)
