The Financial Services Commission will build a system that allows it to check in real time the entire process of the Financial Supervisory Service's inspections and sanctions of financial companies. Currently, related materials can be reviewed only after the FSS's sanction process is completed, drawing criticism that the efficiency and credibility of sanctions are diminished.
According to the financial authorities on the 27th, the Financial Services Commission will build a next-generation system to share in real time with the Financial Supervisory Service information on inspections and sanctions, licensing documents, and key statistics. The plan is to create a new sanction information system that automatically shares information by linking the FSC and FSS systems.
Currently, sanctions by the financial authorities against financial companies proceed in the following order: FSS inspections, the Sanctions Review Committee, deliberations by the Financial Services Commission's Agenda Subcommittee and the Securities and Futures Commission (SFC), and resolution at a regular meeting. Typically, once the FSS's sanctions review is completed, related materials are sent to the FSC.
For advance information sharing, each department under the Financial Services Commission must make individual requests via personal PCs or collaboration tools. The FSC noted that because the FSS's sanction discussions and materials, as well as detailed information on the results of the sanctions review at each stage, are not shared, key issues can be omitted or discussions may not proceed sufficiently. It also said that agendas for meetings that make the final decision on sanction levels, such as the FSC and the SFC, are compiled manually and registered in the relevant system.
The Financial Services Commission will also build a sanctions information databases (DB) so that information and materials discussed at each stage of inspections and sanctions can be managed and shared systematically. It will also share information related to licensing of financial companies in real time to promote administrative efficiency.
The Financial Services Commission explained that with the establishment of this system, it expects to manage inspections and sanctions systematically and to enhance the transparency of related information and administrative predictability.