“A request to rehabilitate the construction of a mid-term development is a measure to reduce the burden on residents”
Gangwon-do has made it clear that the recent decision to file a rehabilitation application with the court against Gangwon Middle East Development Corporation (GJC), which was involved in building the foundation for a theme park Legoland. avoid guarantee debt or to relieve GJC debt.
The provincial government said on the 3rd, “The rehabilitation request is to reduce GJC’s financial burden on residents due to opaque management and inefficient land sales so far.”
He added, “This is a measure to find a new developer with enough assets and skills and to normalize the development of the Gangdo tourist destination.”
The provincial government emphasized, “Specifically, this measure came from the process of actively looking for ways to reduce the provincial budget burden of 250 billion won rather than carrying out the provincial debt burden without any additional effort.”
The state continued, “However, some are raising concerns that some states have applied for rehabilitation against GJC to avoid warranty obligations.” he explained.
Gangwon-do said, “In August, GJC agreed to extend the loan period until January next year with the loan creditor, Ione First Co., Ltd.,” he said.
GJC is an organization invested by the province for the Legoland infrastructure project and owns 44% of the shares.
The province took a debt guarantee when GJC issued a securitization certificate won 250 billion (ABCP) through BNK Investment & Securities in 2020 in order to promote the Legoland theme park construction project, and Ione First was the special purpose corporation (SPC).
The province said, “If the court accepts the application for rehabilitation and a new developer with stable assets and sufficient experience participates, there will be no significant harm to creditors as a result of normalizing the tourism development project in Gangdo as well as reducing to the extreme. the burden on residents.”