[Sejong=Asia Economy Reporter Kim Hyun-jung] To prevent the recurrence of recruitment corruption in the financial sector, measures are being promoted to restrict reemployment in mutual aid associations, non-profit organizations, and companies related to the work.
Yang Kyung-sook, a member of the Planning and Finance Committee (Democratic Party), recently announced on the 21st that she has proposed the "Partial Amendment to the Act on the Governance of Financial Companies" to expand the scope of reemployment restrictions for those involved in recruitment corruption. The current law stipulates the qualifications for executives of financial companies if they retire due to imprisonment or more severe sentences for acts committed during their tenure, but it does not include affiliated institutions or companies that are de facto affiliates or have controlling interests.
Accordingly, even if a financial company executive retires because they no longer meet the requirements for executive appointment due to acts committed during their tenure, there have been cases where they enjoy luxurious lifestyles by receiving high salaries in mutual aid associations, non-profit organizations, and companies related to their previous work, raising concerns about the need for regulation.
Yang Kyung-sook proposed a bill to newly establish Article 35-2 and Paragraph 4 of Article 43 in the "Partial Amendment to the Act on the Governance of Financial Companies," which stipulates employment restrictions preventing financial company executives who have been dismissed due to imprisonment or probation from working in mutual aid associations composed of financial company employees or corporations and companies invested in by those mutual aid associations.
In fact, victims of a past recruitment corruption case at a certain bank have not been compensated, while the former bank president, who was sentenced to imprisonment by the Supreme Court for recruitment corruption charges, was found to be living a luxurious life by being reemployed at related affiliates with a high salary and a company car. Additionally, executives who were responsible for personnel at the time have also been reemployed in related places, receiving high salaries.
Representative Yang said, "Although recruitment corruption related to banks and the financial sector continues to occur, those involved still exploit legal blind spots to be reemployed in related subsidiaries and enjoy luxurious lifestyles with high salaries," adding, "Through the amendment of this bill, we will actively contribute to eradicating recruitment corruption and favoritism in the financial sector, punishing those responsible, and compensating victims."
Meanwhile, the lawmakers who participated in co-sponsoring this amendment are Min Hyung-bae, Lee Tan-hee, Kim Jung-ho, Jang Hye-young, Kang Byung-won, Lee Hak-young, Park Kwang-on, Ahn Min-seok, and Song Young-gil.
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