Hoeryong authorities recently asked each family in the city to pay KPW 20,000 into the government’s “loyalty fund,” Daily NK has learned.
“Neighborhood watch units in Hoeryong are once again asking residents to shoulder a ‘non-tax burden’ in the form of loyalty fund contributions. Each family is expected to contribute KPW 20,000 to the loyalty fund by Nov. 6,” a source in North Hamgyong Province told Daily NK on Monday.
“Up until last year, the loyalty fund was generally operated on a voluntary basis. But this year, the authorities are telling every family to donate if at all possible, while emphasizing the voluntary nature of the donations,” the source added.
The source explained that while the neighborhood watch units are nominally describing loyalty fund contributions as voluntary donations, they are strongly implying that all patriotic families will make a donation.
The city’s residents are shocked by the demands. Given the poor economic conditions this year, even North Korea’s entrepreneurial class, or donju, is running out of money. Squeezing loyalty fund “donations” out of people who are struggling to cover their daily expenses is triggering discontent.
The source said that North Hamgyong Province officials have resorted to asking for contributions because they were unable to cover the loyalty fund quota assigned by the provincial party committee.
“In order to make up for its loyalty fund shortfall, the province appears to be passing the responsibility to residents in the form of a ‘non-tax burden,’” the source said.
In fact, party officials who fail to meet their loyalty fund quota are reportedly being threatened with dismissal and other disciplinary measures.
According to the source, party officials have been desperately trying to raise donations for the loyalty fund after being told by the North Hamgyong’s party committee that they would all lose their positions if they failed to raise the money within the allotted period, even if that means imposing non-tax burdens on residents.
“Officials are using all available methods to shake residents down with the hope of maintaining their own positions. The unending string of non-tax burdens is fomenting frustration and resentment among residents, many of whom haven’t been able to prepare for the winter despite the wintry chill in the air,” the source said.
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