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(Photo = Yonhap news) |
[Alpha Biz= Reporter Paul Lee] The amount of sanctions imposed by local and foreign regulators has been reduced by a quarter compared to two years ago, a survey showed. The size of the Fair Trade Commission's sanctions plunged to one-tenth.
According to the CEO Score of the Corporate Data Research Institute on the 24th, a survey of 236 of the top 500 companies that disclosed the status of sanctions over the past three years showed that these companies (including overseas subsidiaries) received a total of 224.8 billion won in sanctions from domestic and foreign regulators last year.
This is down 51.8% from the previous year (466.5 billion won), down 75.8% from 2021 (930.2 billion won).
During the same period, the amount of sanctions imposed by local regulators fell to 752.7 billion won in 2021, 365.1 billion won in 2022 and 166.1 billion won in 2023. Foreign regulatory authorities' sanctions have been reduced to 177.4 billion won in 2021, 101.4 billion won in 2022 and 58.7 billion won in 2023.
In terms of accumulated overseas sanctions over the past three years, Brazil had the largest amount of 172.4 billion won, followed by the United States with 73.5 billion won and Russia with 56.1 billion won.
The domestic Fair Trade Commission's sanctions fell by 90%, the largest drop. The FTC's sanctions, which stood at 388.1 billion won in 2021, fell 89.7 percent to 40 billion won last year after falling to 235.1 billion won in 2022.
The FTC's cumulative sanctions over the past three years amounted to 663.2 billion won, accounting for a majority (51.7%) of the country's total sanctions (1.284 trillion won).
As the FTC's sanctions have been greatly reduced, the proportion of sanctions by other regulatory authorities has increased. Over the past three years, the cumulative sanctions of the National Tax Service and the Korea Customs Service under the Ministry of Strategy and Finance amounted to 402.2 billion won (31.3%) and the Financial Services Commission and the Financial Supervisory Service amounted to 110.8 billion won (8.6%).
Last year, Shinhan Bank had the largest amount of sanctions of KRW 33.6 billion. It was followed by Youngwon Trade (19.9 billion won) and Hana Bank (19.6 billion won). Shinhan Bank was regulated for violating US corporate anti-money laundering obligations, and Hana Bank was regulated for poor sales and other reasons.
In the past three years, Hyundai Steel's sanctions amounted to KRW 191.5 billion, the highest. Of these, 177.6 billion won (92.7%) is a fine received by the FTC.
Meanwhile, the number of companies whose sanctions exceeded 10 billion won decreased from 12 in 2021 to 9 in 2022 and 7 in 2023.
알파경제 Paul Lee (hoondork1977@alphabiz.co.kr)
