Financial Supervisory Service Deputy Governor Personnel Change Expected as Early as Next Week

Possibility of Resolution at the Financial Services Commission Regular Meeting on the 27th

[Asia Economy Reporter Kim Hyo-jin] The replacement of the three deputy governors of the Financial Supervisory Service (FSS) is expected to take place as early as next week. Once the internal personnel changes at the FSS are completed after nearly half a year, FSS Governor Yoon Seok-heon will have a completely new lineup.

According to financial authorities on the 22nd, the Financial Services Commission (FSC) is considering submitting the personnel proposal for the FSS deputy governors to the regular meeting scheduled for the 27th for approval. The appointment of FSS deputy governors is made by the FSC based on the governor’s recommendation, after verification by the Blue House and other bodies.

In principle, it is also possible to hold an extraordinary meeting to handle the appointments earlier than the already scheduled 27th, depending on the FSC chairman’s decision.

The deputies to be replaced are Yoo Kwang-yeol, the senior deputy governor; Kwon In-won, deputy governor in charge of banks and small finance; and Won Seung-yeon, deputy governor responsible for capital markets and accounting. All three deputy governors except Kim Eun-kyung, who was appointed in March as deputy governor and head of the Financial Consumer Protection Bureau, will be replaced. The term for deputy governors is three years, but they are usually replaced after two years.

The terms of Yoo, Won, and Kwon expire in November and December, respectively. They have recently submitted their resignations and are preparing to hand over their duties to their successors.

There had been speculation that the FSS deputy governor appointments might be made as early as mid-this month, but the process has been delayed. Concerns about a de facto operational gap have also been voiced.

Considering these factors, the FSC is reportedly proceeding with the final procedures to complete the deputy governor appointments by the end of this month or at the latest early next month. This is why the FSS is closely watching the regular meeting scheduled for next week.

An FSC official said, "It has not yet been decided whether the agenda will be submitted," adding, "It is currently difficult to predict the related schedule."

Geun-ik Kim, Director of the Financial Intelligence Unit (FIU)

Kim Geun-ik, head of the Financial Intelligence Unit (FIU), is consistently mentioned as the next senior deputy governor. The senior deputy governor, who oversees FSS personnel, budget, and organizational management, is usually appointed from FSC officials.

Kim previously served as head of the FSC’s Banking Division, head of the Financial Consumer Protection Planning Group, head of the Financial Field Support Group, and deputy head of the Public-Private Joint Regulatory Improvement Promotion Group under the Prime Minister’s Office. In 2018, he moved to become head of the FIU, an FSC-affiliated agency.

For the deputy governor in charge of banks and small finance, Kim Dong-sung, current deputy governor assistant at the FSS, and Choi Sung-il, former deputy governor assistant, are being considered.

Kim, deputy governor assistant, led the procedures for sanctions against financial companies related to the overseas interest rate-linked derivative-linked fund (DLF) incident that took place from last year to early this year. He is known to have earned strong trust from Governor Yoon, who has a particular interest in internal controls of financial companies and policies protecting financial consumers.

Choi, former deputy governor assistant, has been recognized for his expertise in bank supervision, having worked in the FSS’s Bank Inspection and Supervision Bureau and the Bank Services General Bureau.

For the deputy governor responsible for capital markets and accounting, Kim Do-in, former deputy governor assistant at the FSS, is highly anticipated. Kim previously worked as deputy director of the Asset Management Inspection Office, director of the Asset Management Supervision Office, director of the Asset Management Inspection Bureau, and director of the Corporate Disclosure Bureau at the FSS.

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