S. Korea to adopt tougher penalties for overcharging in tourism sector

South Korea plans to impose tougher penalties for overcharging in the accommodation and restaurant sectors starting next month as part of the government's efforts to promote tourism, the finance ministry said Tuesday.

The Cabinet approved revisions to the Enforcement Decree of the Tourism Promotion Act aimed at imposing heavier penalties for overcharging tourists, which will take effect Aug.

4, according to the Ministry of Finance and Economy.

Under the revision, operators of businesses offering stays in "hanok," traditional Korean houses, that fail to post or comply with price lists will face a five-day business suspension for a first violation, instead of receiving only a warning.

Foreign tourist home-stay businesses in urban areas, which previously had no requirements to post or comply with price lists, will also fall under the revised regulation.

The government earlier implemented similar revisions for general accommodation businesses in mid-July.

In addition to the business suspension for the first overcharging violation, second and third breaches will result in business suspensions ...