Samyang Foods Strengthens Outside Directors' Roles to Enhance Fairness and Objectivity

[Asia Economy Reporter Seungjin Lee] Samyang Foods has taken steps to ensure fairness and objectivity by appointing all members of the audit committee within the board of directors as outside directors.

At the shareholders' meeting scheduled for the 26th, Samyang Foods plans to establish an audit committee under the board of directors and propose the appointment of Hong Cheol-gyu, professor of business administration at Chung-Ang University; Jung Moo-sik, lawyer at Gonggam Partners Law Firm; and Lee Hee-soo, CEO of Yegyo Jiseong Accounting Corporation.

The audit committee is established to ensure the independence and transparency of the board of directors and serves as an internal audit body overseeing the company's operations and overall accounting. Although Samyang Foods is not legally required under current commercial law to establish an audit committee, it has proactively set one up and composed the committee entirely of outside directors with expertise and experience in accounting, finance, and legal fields.

Professor Hong Cheol-gyu holds a Ph.D. in accounting and serves as a professor of accounting at a university. He has extensive professional knowledge and experience as an audit committee member, having served as an outside director at KT Music and as chairman of the audit committee at Lotte Information & Communication.

Lawyer Jung Moo-sik has served as an advisory member of the Anti-Corruption and Civil Rights Commission and as a member of the Administrative Appeals Committee of the Gyeonggi Provincial Office of Education. He is not only deeply knowledgeable about social issues but also a legal expert in commercial law and fair trade law. CEO Lee Hee-soo holds a master's degree in finance and is a certified public accountant in Korea. He currently serves as an adjunct professor at Hanyang University Graduate School of Business and is recognized externally for his practical skills in accounting and finance.

Meanwhile, Samyang Foods is significantly strengthening its outside director lineup this year and, for the first time, appointing a female outside director to secure diversity on the board. Kang So-yeop, director of the HSG Human Solution Group's Donggi Science Research Institute, is a communication expert engaged in various coaching and consulting activities in the field of communication within human resources and organizational management.

To guarantee the independence of outside directors, an Outside Director Candidate Recommendation Committee will also be newly established. Accordingly, in the future, candidates for outside directors will be objectively verified for independence and expertise through this committee before appointment.

A representative of Samyang Foods stated, "Strengthening the role of outside directors will be the starting point for ensuring the independence and transparency of the board of directors and establishing a system of checks and balances." He added, "Through this, we will lay the foundation for sound governance and sustainable growth."

Since last year, Samyang Foods has focused on strengthening its monitoring and oversight functions to build a transparent and fair management environment. At the end of last year, it introduced an internal accounting management system and a compliance officer system and organized dedicated departments. At the shareholders' meeting on the 26th, the company plans a major reorganization of the board of directors, separating the roles of CEO and board chairperson, reinforcing the outside director lineup, and establishing an ESG committee, audit committee, compensation committee, and outside director candidate recommendation committee under the board.

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