As criticism from the political sphere intensified over the amendment to the Commercial Act, which some say is not a matter for the Financial Supervisory Service (FSS) to intervene, Lee Bok-hyun, the head of the FSS, launched a counterattack. He noted that while the Commercial Act falls under the jurisdiction of the Ministry of Justice, the provision aiming to extend the duty of loyalty of directors to shareholders in existing companies is closely related to the advancement of the capital markets. He criticized the notion of silencing the FSS as an overstepping of authority.
On the 19th, Lee held a 'press briefing' at the FSS headquarters in Yeouido, Seoul, and stated, “The right to request reconsideration (veto power) is a presidential authority, and I believe the ruling party, the relevant ministry, and the Ministry of Justice can provide their opinions,” but added, “Since it's a matter to be decided by the president, we are all one of them without the final decision-making authority.”
He then questioned those opposing the amendment to the Commercial Act about what they would bet on. Lee appealed, “At this point, it is realistic to establish measures to alleviate side effects,” saying, “I am in a situation where I will not shy away from the difficult path and will stake everything I have.” He also expressed a desire to discuss what those who have differing opinions would stake.
Earlier, as the amendment to the Commercial Act passed the Judiciary Committee before reaching the plenary session, calls to suggest the right to request reconsideration to Choi Sang-mok, acting president and Minister of Economy and Finance, gained momentum, leading Lee to state, “I have no choice but to oppose (the ruling party's actions), even if it means risking my position.” This was to emphasize that the plan to enhance shareholder value should not be reversed.
On the 13th, Kweon Seong-dong, the floor leader of the ruling People Power Party, remarked, “It seems unfortunate that the habit of doing what one wants when one was a prosecutor is now manifesting in the significant position of head of the FSS,” and on that day, Lee rebutted those comments. Lee stated, “The very act of saying, 'FSS, you can or cannot provide your opinion' itself is an overstepping of authority,” stressing, “I am someone who has been given the responsibility for the advancement of capital markets by the president.”
He indicated that he would accept the exercise of the right to request reconsideration if the acting president decided to do so. Lee asserted, “The right to request reconsideration is exercised by the president, and if it is exercised, I will comply,” adding that “until then, we must sufficiently voice our opinions from the perspective of advancing the capital markets.”
However, Lee stated that the amendment to the Commercial Act is not subject to the right to request reconsideration. He explained, “Matters like the Grain Management Act and the Yellow Envelope Act (which may warrant the exercise of the right to request reconsideration) are cases that go against the constitutional order or are difficult to accept, but the issue of the Commercial Act is not such a matter,” and added, “The amendment to the Commercial Act resembles the Capital Market Act and labeling it as a unique regulation that exists only in Korea is fake news.”
Lee proposed an open debate targeting the Federation of Korean Industries (FKI). He stated, “The FKI is sufficiently positioned to represent corporations,” suggesting that “it would be constructive for a knowledgeable person to come forward and discuss the potential side effects of the amendment to the Commercial Act in front of the public.” He emphasized that the amendment to the Commercial Act should not become a target for political strife, saying, “Discourse has disappeared as it has become politicized,” and added, “We need to approach it through policy and systems.”