Jeong Young-chae NH Investment & Securities 'Optimus Heavy Disciplinary Action' Cancellation Lawsuit

Jung Young-chae, CEO of NH Investment & Securities / Photo by Dong-joo Yoon doso7@

Jung Young-chae, CEO of NH Investment & Securities, who received a severe disciplinary action due to the Lime and Optimus private equity fund scandals, has also filed a lawsuit against the Financial Services Commission.

According to the financial investment industry on the 18th, CEO Jung filed a cancellation lawsuit against the reprimand disposition and an application for suspension of execution at the Seoul Administrative Court on the 11th. The main lawsuit was assigned to Administrative Division 14. The hearing for the suspension of execution application will be held on the 27th of this month under the same division.

Earlier, on the 29th of last month, the Financial Services Commission decided on severe disciplinary actions for violations of the obligation to establish internal control standards under the Financial Companies Governance Act. CEO Jung Young-chae of NH Investment & Securities, the seller of the Optimus fund, received a reprimand, while CEO Park Jung-rim of KB Securities, the seller of the Lime fund, was suspended from duty for three months.

The levels of disciplinary actions against financial company executives are divided into five stages: ▲recommendation for dismissal ▲suspension from duty ▲reprimand ▲cautionary warning ▲warning. A reprimand restricts employment as a financial company executive for three years, suspension from duty for four years, and recommendation for dismissal for five years. Disciplinary actions from reprimand and above are classified as severe.

CEO Jung's term expires in March next year. Upon expiration, not only is reappointment as company CEO uncertain, but employment as a financial sector executive for three years is also unclear.

Meanwhile, CEO Park Jung-rim of KB Securities filed an administrative lawsuit on the 1st, requesting cancellation of the three-month suspension from duty disciplinary action, along with an application for suspension of execution.

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