Metropolitan Transport Commission to tighten Modu Card fraud regulations

The Metropolitan Transport Commission (MTC) of South Korea is tightening regulations to prevent fraudulent claims within the Modu Card system, an expanded version of the K-Pass program designed to reduce public transportation costs. With over 6 million users, the commission is amending service terms to specifically define and penalize fraudulent activities.

Prohibited actions include identity theft, lending or transferring cards and accounts to others, registering false information regarding eligibility, and using hacking or other illicit electronic methods. To ensure fairness, the MTC will implement a tiered penalty system: a first offense results in a one-month service suspension, a second offense leads to a three-month suspension, and a third offense results in membership revocation and a one-year ban on re-registration. For organized or repeated fraud, the re-registration ban can extend up to three years.

The commission will also implement measures to recover misappropriated funds, either through direct repayment or deductions from future refunds. To protect legitimate users, the MTC has established a verification process that includes a 14-day period for users to provide explanations and a 30-day window to file appeals against sanctions.