The joint response team set up to quickly respond to unfair trading, including stock manipulation, will be expanded to a two-team system. This follows President Lee Jae-myung's instruction at a Financial Services Commission work briefing in Dec. last year to strengthen the response to unfair trading by creating an additional team within the joint response team to compete.
The Financial Services Commission, the Financial Supervisory Service, and the Korea Exchange said on the 14th that they held a meeting chaired by Securities and Futures Commission (SFC) Chair Kwon Dae-young and confirmed plans to expand the "joint response team to eradicate stock manipulation."
According to the Financial Services Commission (FSC), the joint response team is currently operated as a single team consisting of three units: a compulsory investigation unit (FSC), a general investigation unit (Financial Supervisory Service (FSS)), and a rapid screening unit (exchange). In addition, a compulsory investigation unit and a general investigation unit will each be newly established. The rapid screening unit, composed of Korea Exchange personnel, will support both Team 1 and Team 2, with two teams to be operated.
The Financial Services Commission (FSC) will assign a total of eight people, including a Director and investigative officials currently working in the Capital Markets Investigation Division, to Team 1's compulsory investigation unit, and will assign seven additional personnel secured for the Capital Markets Investigation Division under this year's regular staffing and last year's ad hoc staffing to Team 2's compulsory investigation unit. The Financial Services Commission added that it will hold additional consultations with the Ministry of the Interior and Safety and the Ministry of Planning and Budget to secure sufficient personnel.
The Financial Supervisory Service (FSS) will assign 14 people to Team 2's general investigation unit and then add personnel in stages to bring the total to 20. The Financial Supervisory Service (FSS) said it plans to add 30 people in the first half of the year to strengthen investigative capacity.