"Comprehensive Inspections and Private Equity Fund Sanctions to Proceed as Planned," FSS Reaffirms Tough Stance

Kim Geun-ik Acting Officer Presides Over Executive Meeting

[Image source=Yonhap News]

[Asia Economy Reporter Kim Jin-ho] Kim Geun-ik, Acting Governor of the Financial Supervisory Service (FSS), emphasized on the 18th, "Please consistently proceed with the comprehensive inspections of financial companies and sanctions and dispute resolutions related to private equity funds according to the original schedule." This is interpreted as meaning that despite the resignation of former FSS Governor Yoon Seok-heon, there will be no change in the previously firm stance.

At the executive meeting held for the second time since former Governor Yoon's departure, Acting Governor Kim urged the smooth execution of the comprehensive inspections scheduled for 16 financial companies this year. The FSS plans to conduct comprehensive inspections of a total of six institutions by next month: one bank and one holding company each, one securities company and one holding company each, one life insurance company, and one non-life insurance company. He also requested that sanctions and dispute resolutions related to private equity funds be carried out consistently according to the original schedule.

This appears to dismiss the possibility of easing or postponing the level of sanctions and dispute resolutions related to comprehensive inspections and private equity funds, which were raised as the FSS entered the acting governor system.

Acting Governor Kim also asked for thorough preparation in establishing detailed guidelines to ensure the stabilization of the Financial Consumer Protection Act (FCPA). He instructed close monitoring of household debt and the expansion of financial market volatility, and thorough preparation for potential risk factors.

Furthermore, he urged the executives and staff, saying, "Organizational stability is of utmost importance," and requested, "Please devote yourselves to the core tasks of stabilizing the financial market and protecting financial consumers."

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