United Future Party: "Inbaeng Law Approved by Moon Administration and Financial Services Commission, Rejected by Doctrinarians within Democratic Party"

[Image source=Yonhap News]

[Asia Economy Reporter Lee Ji-eun] On the 5th, the Future United Party criticized the rejection of the amendment to the Internet Specialized Bank Act (Inbank Act) at the National Assembly plenary session, saying it was "due to the agitation of dogmatic proponents of the separation of banking and industry" who "broke the agreement."

Kim Jong-seok, the Future United Party's Policy Committee secretary, said at an emergency party meeting, "If K Bank remains in a brain-dead state for a few more months, it will have to close. What will happen to the depositors, borrowers, and the money deposited?" At the plenary session that day, the Internet Specialized Bank Act was rejected with 75 votes in favor and 82 against out of 184 members present. Most Future United Party members voted in favor, while most of the Democratic Party voted against it. As a result, KT's participation in K Bank's capital increase has become virtually impossible.

Kim said, "The Financial Services Commission and authorities must be as embarrassed as we are, but ultimately, the political responsibility lies with the government and the Financial Services Commission," adding, "The Future United Party supported it prioritizing national interest, but those who voted against it did so driven by ideological dogmatism prioritizing party interests. The confusion and economic and social responsibilities that arise will fall on those in the Democratic Party who voted against it."

The Internet Specialized Bank Act allows non-financial industrial capital to become major shareholders of internet banks only. The Future United Party had agreed with the Democratic Party to pass this law jointly with the Financial Consumer Protection Act (FCPA). However, while the FCPA, which was voted on first, passed, the Internet Specialized Bank Act was rejected.

Kim explained, "The ruling and opposition parties agreed to handle the two bills together through a gentleman's agreement, and the Legislation and Judiciary Committee also agreed to handle the FCPA and Inbank Act together. However, the original schedule to handle the Inbank Act first was changed today, and the FCPA was handled first, which was my oversight."

Kim criticized, "The current government and the Financial Services Commission chairman also want to promote fintech and internet banking as a policy, and there is no public disagreement, so they proposed and agreed to it. But it ended up like this due to the agitation by hardliners within the Democratic Party who dogmatically believe in the separation of banking and industry."

He said, "K Bank does not lend to large corporations but provides mid-interest loans to small business owners and ordinary people, and consumer finance is significant. Yet, left-wing extremists are reciting stories from 20 to 30 years ago about relaxing the separation of banking and industry and major shareholders turning banks into personal piggy banks," adding, "It has nothing to do with major shareholders turning banks into personal piggy banks, and it is non-face-to-face lending, but they think Samsung or LG is taking hundreds of billions."

Meanwhile, the plenary session was temporarily adjourned as the Future United Party protested and walked out over the rejection of the Internet Specialized Bank Act.

This content was produced with the assistance of AI translation services.