Broadcasting, Media and Telecommunications Committee Fines Agoda 2.4 Billion Won for Inadequate Refund and Fee Information
Insufficient Disclosure of Key Information Such as Refund Conditions and Cancellation Fees
The Broadcasting, Media and Telecommunications Committee announced on July 6 that it has imposed a corrective order and a fine of 2,424,000,000 won on the online travel platform Agoda for failing to provide sufficient information on important matters such as refund conditions and cancellation/change fees.
Kim Jongchul, chairman of the North America Strategy Committee, presiding over the 22nd plenary meeting. Photo by Yonhap News
View original imageThe committee held a plenary meeting that day and determined that Agoda made it difficult for users to access information by not clearly displaying whether refunds were possible and the cancellation/change fees on the main booking screen during the airline ticket reservation process, instead providing such information through unrelated links.
It was also explained that during the accommodation booking process, Agoda did not sufficiently inform users that choosing the 'Pay Later' option could incur an additional fee of up to 5%, nor did it adequately disclose the actual amount to be paid.
Although Agoda voluntarily corrected some issues during the investigation, the committee concluded that these actions constitute a serious infringement of user interests under the Telecommunications Business Act and decided to impose sanctions.
Accordingly, the committee has ordered Agoda to improve its work procedures so that users can easily check refund conditions, fees, and the final payment amount during the reservation process.
Kim Jongchul, Chairman of the Broadcasting, Media and Telecommunications Committee, stated, "Businesses must clearly and simply inform users of matters that affect contract formation and cost burden," and emphasized, "We will respond to any infringement of user interests with a zero-tolerance policy."
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Meanwhile, on the same day, the committee also approved the presidential nominations of four new board members for the Korean Broadcasting System (KBS), as well as new board appointments for the Foundation for Broadcast Culture and the Korea Educational Broadcasting System (EBS). This personnel change marks the first application of the expanded board composition and diversified nomination process for public broadcasters following the revision of the three broadcasting laws.
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