Samsung Compliance Committee, "Court Agrees to Disclose 'Expert Investigator Report'"

[Image source=Yonhap News]

[Asia Economy Reporter Eunmo Koo] The Samsung Compliance Committee, the body overseeing Samsung Group's ethics and compliance management, announced on the 17th that it agrees to the court's disclosure of the 'Expert Psychological Committee Report' evaluating the committee's activities.

The Samsung Compliance Committee held an extraordinary meeting on the afternoon of the same day at the Samsung Life Seocho Tower in Seocho-gu, Seoul, and decided on this position. The meeting was held ten days after the court's expert psychological committee released its evaluation of the Samsung Compliance Committee's activities.

At the retrial of Samsung Electronics Vice Chairman Lee Jae-yong's 'state corruption' case held on the 7th, three expert psychological committee members disclosed their evaluation results of the Samsung Compliance Committee's activities and subsequently submitted a final report to the court.

At that trial, accountant Hong Soon-tak, recommended by the special prosecution team led by Park Young-soo, gave a negative evaluation, while lawyer Kim Kyung-soo, recommended by Lee's side, gave a positive evaluation. However, former Constitutional Court Justice Kang Il-won, appointed by the court, delivered a reserved conclusion.

The court asked for opinions on the public disclosure of the final report submitted by the expert psychological committee, to which the Samsung Compliance Committee expressed its agreement to disclose the report.

The Compliance Committee stated, "We reviewed the expert psychological committee's evaluation opinions. Although the evaluations are divided, we see this as a good opportunity for self-reflection. We will improve committee operations, identify areas for supplementation, and prepare concrete implementation plans."

They added, "We decided to review and incorporate improvements regarding the enhancement of the effectiveness of recommendations pointed out by the expert psychological committee, strengthening procedural requirements related to withdrawal from the committee agreement, and ensuring the effectiveness of authority over committee personnel and budget."

The meeting also discussed recent amendments to the 'Fair Economy Three Acts' and the Labor Union Act.

The Samsung Compliance Committee explained, "We focused on ways to realize the intent of the amended laws in future compliance monitoring. In particular, regarding the amendment to the Fair Trade Act, we decided to more thoroughly monitor transactions newly added as targets of private interest regulation with the company."

Additionally, to strengthen communication with shareholders and minimize restrictions due to the COVID-19 situation, the committee recommended Samsung Electronics hold next year's regular shareholders' meeting concurrently online. For the other six companies?Samsung C&T, Samsung Life Insurance, Samsung SDI, Samsung Electro-Mechanics, Samsung SDS, and Samsung Fire & Marine Insurance?they also recommended considering concurrent online shareholders' meetings and introducing an electronic voting system in the future.

The Samsung Compliance Committee was launched in February this year as a body to strengthen 'compliance management' within Samsung Group, with former Supreme Court Justice Kim Ji-hyung serving as chairman.

The retrial court handling Vice Chairman Lee Jae-yong's 'state corruption' case has stated that it will consider the effectiveness of the Samsung Compliance Committee in determining Lee's sentencing.

The court plans to hold a session on the 21st for the special prosecution and Lee's side to present their opinions on the expert psychological committee's evaluation, followed by a final trial on the 30th of this month.

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