[2025 Audit] 'Front-Running by Journalists' Under Scrutiny... Lee Eogwon Vows Strict Response

Lee Eogwon, Chairman of the Financial Services Commission, stated on the 20th that he would respond strictly, regardless of industry or position, to the so-called "front-running" cases in which some reporters from certain media outlets purchased specific company stocks in advance and then published favorable articles to inflate stock prices.

Lee Eokwon, Chairman of the Financial Services Commission, is taking an oath at the National Assembly's Political Affairs Committee during the National Assembly audit of the Financial Services Commission and others on the 20th. 2025.10.20 Photo by Kim Hyunmin

Chairman Lee made this remark in response to Assemblyman Han Changmin of the Social Democratic Party, who pointed out at the National Assembly audit of the Financial Services Commission held at the Political Affairs Committee that day that some reporters had been confirmed to be involved in stock price manipulation. Lee said, "For the capital market to develop properly, unfair trading must be thoroughly eradicated. I consider responding to unfair trading to be the top priority," thus answering accordingly.

Assemblyman Han, who specifically named media outlets found to have participated in front-running, argued, "Only part of the collusion between companies, the media, and those in power has been revealed, so a large-scale investigation is needed. Rather than a superficial investigation, a comprehensive review is necessary." In response, Chairman Lee also stated, "We will address all unfair trading."

During the audit, it was also pointed out that the ethical codes of major domestic media outlets are far less stringent than those of foreign media, which include strict preemptive regulations. For example, The New York Times, Financial Times, and Reuters prohibit reporters from owning stocks of companies they cover, or require them to report their investment assets and update them whenever changes occur.

In response, one assemblyman insisted that institutional improvements are needed, such as reflecting the introduction of self-regulation and the number of violations in the review criteria for broadcasting license renewals, government advertising placement, and online newspaper registration requirements. Chairman Lee replied, "I understand your point, and I will look into what measures can be taken."

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