"Companies Need to Establish Integrity Compliance Systems Aligned with Global Standards"

KCCI, World Bank, and Ministry of Justice 'Legal Support Seminar for Overseas Expansion Companies'
"Assess and Respond to Each Country's Situation and Take the Lead"
Also Published 'Global Compliance Management Guidebook'

Advice has been given that a system in line with global standards must be established to prevent our companies from facing difficulties due to governance risks.

The Korea Chamber of Commerce and Industry (KCCI) held an 'Overseas Expansion Companies Legal Support Seminar' on the 30th at the KCCI building in Jung-gu, Seoul, jointly with the World Bank and the Ministry of Justice. More than 150 people attended the seminar, including Shim Woo-jung, Vice Minister of Justice (acting Minister), Woo Tae-hee, Executive Vice President of KCCI, and Mohamadou Dien, Vice President of the World Bank.

Woo Tae-hee, Executive Vice President of the Korea Chamber of Commerce and Industry, delivers a greeting at the 'Legal Support Seminar for Overseas Expansion Companies' jointly hosted by the World Bank and the Ministry of Justice on the 30th at the Korea Chamber of Commerce and Industry building in Jung-gu, Seoul. Photo by Korea Chamber of Commerce and Industry [Image source=Yonhap News]

Lisa Miller, Team Leader of the World Bank's Integrity Compliance Department, and Jo Ji-hoon, Integrity Compliance Analyst, emphasized in their presentations that "The World Bank provides developing countries with global knowledge such as technology and supports financing necessary for development projects, and the success of these projects depends on the integrity of companies," stressing the need for our companies to establish an 'Integrity Compliance' system.

Sang-woo Kim, a lawyer at Kim & Chang Law Office, referred to the EU Supply Chain Due Diligence Directive agreed upon by the European Union (EU) last December, stating, "Since violators can be fined up to 5% of their global sales, domestic companies must review this matter and establish a proactive response system."

Jun-woo Lee, a lawyer at Hwawoo Law Firm, said, "As the Vietnamese government is expected to use minimum tax revenue as policy funds to attract foreign investment for nurturing domestic industries, our companies should examine investment support policies and utilize subsidies advantageously."

Dong-chul Kim, a foreign legal advisor at Paul Hastings Foreign Law Office, said, "The United States has recently strengthened merger reviews related to foreign investment from the perspective of national security, including changes in control, transfer of core technologies, infrastructure, personal data, and real estate transactions near military facilities," adding, "Companies should carefully review whether they are subject to review and the necessity of prior notification, and minimize business damage by effectively utilizing favorable review trends compared to competing countries."

Woo Tae-hee, Executive Vice President of KCCI, said, "This year is a super election year, with legislative risks being the greatest concern. However, if we take the lead in the market by utilizing free trade agreements or advance ESG management to outpace export competitors, there will be more opportunities for us," and added, "We will strengthen knowledge sharing with the Ministry of Justice and the World Bank."

The Ministry of Justice and the World Bank have decided to publish a 'Global Compliance Management Guidebook' to provide practical guidelines on compliance management.

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