Renewed Conflict Between Korean-American Owners... Push to Dismiss CEO Song Young-sook

The internal dispute within the Hanmi Pharmaceutical Group owner family, which seemed to have settled, has reignited. The brother faction, which has taken control of the board of directors of the holding company Hanmi Science, has brought forward a proposal to dismiss Chairwoman Song Young-sook from her representative position. The latent conflicts, such as difficulties in attracting investment to resolve issues like inheritance tax, have resurfaced, leading to a renewed family conflict.

Owner of Hanmi Pharmaceutical Group. Song Young-sook, Chairwoman of Hanmi Pharmaceutical Group (top left in the photo, clockwise), Lim Joo-hyun, Vice Chairman of Hanmi Pharmaceutical Group, Lim Jong-hoon, CEO of Hanmi Science, and Lim Jong-yoon, Director of Hanmi Science.

According to industry sources on the 13th, Hanmi Science plans to convene an extraordinary board meeting on the morning of the 14th. There is only one agenda item to be presented at the meeting: the dismissal of Chairwoman Song, who currently serves as co-CEO alongside the second son, Lim Jong-hoon, from her representative position.

Previously, CEO Lim, the second son, along with the eldest son Lim Jong-yoon, an inside director of Hanmi Science, took control of the board in a direct showdown against Chairwoman Song and eldest daughter Lim Joo-hyun, vice-chairwoman of Hanmi Science, at the regular shareholders' meeting held in March. In the Hanmi Science board, which has a maximum of 10 members, the brother faction, including the two brothers, secured a majority with six directors. Despite this, the first board meeting that followed saw the establishment of a co-CEO system between Song Young-sook and Lim Jong-hoon, which was considered to have reconciled the conflict between the two sides.

However, it is reported that conflicts between the two sides reignited over actual management issues thereafter. Opinions sharply diverged during the executive reshuffle process, and it was said to be difficult to reach consensus on funding issues to resolve the inheritance tax burden borne by the owner family. The nature of the co-CEO system, where important decisions at Hanmi Science cannot be made without the consent of either side, is also analyzed to have exacerbated these problems.

As a result, CEO Lim Jong-hoon began advocating for the dismissal of his mother from the representative position. Although Director Lim Jong-yoon expressed a negative view on the dismissal considering future funding situations, the board meeting was ultimately decided to be held.

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