The Financial Supervisory Service is expected to conduct a comprehensive examination of KB Financial Group(105560) Holdings in September. In the financial sector, the comprehensive examination by the Financial Supervisory Service, cited as one of the biggest variables in selecting the next KB Financial Group chairman, will take place after the three finalists are confirmed.
According to the financial sector on the 28th, the Financial Supervisory Service will enter a suspension period for examinations until the 7th of next month and resume examinations on the 10th. The suspension period is a time when examinations are temporarily halted in consideration of financial companies' summer vacation schedules.
The Financial Supervisory Service has reportedly not yet finalized the schedule for a comprehensive examination of KB Financial Group. Even after the suspension period ends, the Financial Supervisory Service plans to complete the ongoing examinations of the banking sector before proceeding with the comprehensive examination of KB Financial Group. An official at the Financial Supervisory Service said, "Because there are examinations already underway, we have not yet finalized the examination schedule for KB Financial Group."
The Financial Supervisory Service gives financial companies at least one month's prior notice before launching a comprehensive examination. Since Director Lee Chan-jin took office, the Financial Supervisory Service has further strengthened the advance notice system to allow financial companies sufficient preparation time. Considering the preliminary and main examination schedules, even if the Financial Supervisory Service resumes examinations on the 10th of next month, it appears it will be early September before it can start the comprehensive examination of KB Financial Group. Initially, the prevailing expectation in the financial sector was that the Financial Supervisory Service would conduct the comprehensive examination of KB Financial Group in August.
If the comprehensive examination schedule slips into September, one variable in selecting the next KB Financial Group chairman will be reduced. KB Financial Group finalized a first shortlist of six candidates for the next chairman on the 3rd, and will narrow the field to three through interviews on the 27th of next month. The final candidate will be decided on Sept. 11. Because the comprehensive examination by the Financial Supervisory Service will begin after the three finalists are confirmed, the examination will have that much less room to influence the selection of the next chairman.
The financial authorities also emphasize that they have no intention of influencing the selection of the next KB Financial Group chairman through this comprehensive examination. An official at the financial authorities said, "Even if we conduct an examination, it should not be able to affect the selection of the next chairman."