[2025 Audit] From Legal Action to Hearings... Intensified Pressure on Coupang and Homeplus

As this year's National Assembly audit enters its final phase, pressure on the retail industry, including Coupang and Homeplus, is mounting. Coupang has come under scrutiny for issues such as commissions charged to small business owners and settlement cycles for manufacturers and suppliers. Kim Beomseok, Chairman of the Board at Coupang Inc. and founder, was summoned as a witness to address these controversies but failed to comply, increasing the likelihood of legal action. Homeplus, which has entered corporate rehabilitation proceedings, has publicly declared its intention to find a new owner through a merger and acquisition (M&A) rather than liquidation. As a result, there is discussion of holding a hearing to verify whether this commitment will be fulfilled.

Byungju Kim, Chairman of MBK Partners (right), appeared as a witness at the National Assembly's Political Affairs Committee hearing on the Fair Trade Commission and the Personal Information Protection Commission held on the 14th, responding to lawmakers' questions. On the left is Kwangil Kim, Vice Chairman of MBK and Co-CEO of Homeplus. Photo by Hyunmin Kim

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At the National Assembly's Political Affairs Committee audit held on the 28th, Lee Heonseung, a lawmaker from the People Power Party, stated, "Chairman Kim did not comply with today's witness summons, citing overseas residence and participation in global business. Since we decided to take action if he failed to appear again after the previous summons, we must proceed with the necessary measures."

Previously, Chairman Kim was summoned to appear as a witness at the Political Affairs Committee audit on the 14th, but he submitted a written explanation for his absence and did not attend the comprehensive audit on this day either. The committee had planned to question Kim regarding Coupang's business in Taiwan and unfair trade practices on its online platform.

Lee further emphasized, "Coupang has sparked various controversies in the domestic online retail market by leveraging its dominant position, including issues related to commissions, bundling, and settlement cycles. As the head of the company, Chairman Kim has an obligation to clearly acknowledge and address the problems that arise from operating in Korea and to present solutions." He criticized, "Failing to appear without specifying the exact nature of the meetings is an act of disregarding both the Korean public and the National Assembly."

Attention is also focused on whether Homeplus will honor its pledge to pursue an M&A before the approval of its rehabilitation plan, which must be submitted by the 10th of next month. Byungju Kim, Chairman of MBK Partners, the private equity fund manager and major shareholder of Homeplus, and Kwangil Kim, Vice Chairman of MBK and Co-CEO of Homeplus, appeared as witnesses at the audit on the 14th. They stated, "A successful M&A is the only way for Homeplus to survive," and expressed their intention to secure a new owner before submitting the rehabilitation plan, aiming to resolve debts, ensure job stability, and protect investors.

Namgeun Kim, a lawmaker from the Democratic Party of Korea, pointed out, "The two have promised not to liquidate the company until the rehabilitation plan is submitted and to pursue an M&A before approval. Homeplus ranks ninth in employment, with approximately 100,000 employees, so a hearing should be held to confirm whether they are actively seeking and negotiating with a potential buyer."

Additionally, Seungwon Kim, another lawmaker from the same party, pressed for perjury charges against Chairman Kim and Vice Chairman Kim. He stated, "On the 20th, I called for perjury charges against both Chairman Kim and Kwangil Kim, and I want to reiterate the necessity of this action. According to MBK's articles of incorporation and establishment report, both Byungju Kim and Kwangil Kim are designated as key personnel of the private equity fund, and such personnel must not commit serious legal violations, fraud, or intentional illegal acts." He added, "If a judicial decision is made, they will be dismissed not only from the fund that includes Homeplus but also from other funds, and will be liable for damages. Perjury charges are also included."

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