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[Alpha Biz=(Chicago) Reporter Paul Lee] Ewha Group owners Ehwa Technologies, Etron and EID, who are suspected of embezzlement and breach of trust worth tens of billions of won by management, have been designated as unfaithful disclosure firms after receiving penalty points from the Korea Exchange.
On the 9th, the exchange held a listing disclosure review committee and imposed 10 penalty points and 10.5 penalty points on Ewha Electro-Mechanics and Etron, respectively. Sanctions were also imposed on Ehwa Technologies and iTron for 40 million won and on EID for 210 million won.
If the penalty is more than 10 points, stock trading will be suspended for one day, but all three listed companies have already stopped trading, so this is not the case, the exchange explained.
The reason for the designation of the three listed companies as unfaithful disclosure firms is due to false answers to requests by former and incumbent executives to disclose allegations of embezzlement and breach of trust or failure to disclose important matters. Types of unfaithful disclosure include listed corporations failing to comply with public disclosures, reversing public disclosures, canceling public disclosures, or changing the details of public disclosure without faithfully fulfilling their disclosure obligations under the Capital Markets Act, the securities market, and the KOSDAQ market disclosure regulations.
In addition, the exchange demanded that all the disclosure managers of the three listed companies be replaced, judging that they intentionally committed serious violations.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
