Fair Trade Commission Chairman Candidate Song Ok-ryul "Improvements in Corporate Defense Rights, etc." (Comprehensive)

Press Conference on the 5th

Sexual Harassment Controversy "If Unqualified, Will Calmly Accept"

Song Ok-ryul, a professor at Seoul National University School of Law, nominated as the first Fair Trade Commission chairman candidate under the Yoon Suk-yeol administration. (Image source=Yonhap News)

[Asia Economy Reporter Moon Chaeseok] Song Okryul, the nominee for the first Fair Trade Commission (FTC) chairman under the Yoon Seok-yeol administration, said on the 5th, "I will strive to ensure that the FTC gains the trust of the market."

At a press briefing held at the Seoul Fair Trade Mediation Agency in the afternoon, Song said, "I will do my best to prevent issues of abuse of the FTC's investigative authority from arising, and I plan to study and improve procedural fairness in investigations and securing the defense rights of investigated companies in law enforcement."

As a specialist in commercial law, he has consistently advocated for deregulation through media articles. Regarding internal transaction regulations, a critical concern for companies, he said, "While we will carefully review and sufficiently improve the details, internal transaction regulations will not disappear."

Addressing concerns that the FTC's unique role in controlling economic concentration of specific companies or affiliates might weaken under the deregulation policy of the Yoon Seok-yeol government, he stated, "The basic framework of economic concentration regulation and the FTC's functions will be maintained," adding, "The FTC's role and functions should not easily change just because the government changes."

Regarding evaluations that he is pro-big business as a proponent of deregulation, he drew a line, calling it a 'misunderstanding.' Song said, "There seem to be many misinterpreted comments or expectations that my career or previous writings are pro-big business, but that is very different from the direction I think," adding, "This administration's free market economy does not mean chaebols can do as they please." He further emphasized, "The three pillars of the Fair Trade Act?protection of small and medium enterprises and consumers, antitrust, and chaebol regulation?have never changed and will not change."

On the Moon Jae-in administration's key agenda of 'chaebol reform,' he said, "Slogans or expressions are not important," and added, "The term 'chaebol reform' depends on how it is expressed." He also said, "What I dislike most is letting expressions or slogans dictate people's decisions." When asked if he intends to meet with heads of large corporations, he replied, "Of course, I will meet them," adding, "They are not our enemies, and currently, there are no restrictions on meeting them."

As major regulatory improvement tasks to be pursued after taking office, he cited reducing the scope of relatives of the same person (head of a conglomerate) and expanding the exemption scope for corporate merger notifications, both included in the national agenda. Regarding platform regulation, he said, "The national agenda seems to have organized that it is better to shift toward self-regulation, and the Act on Fairness in Online Platform Transactions is being discussed in the National Assembly," adding, "I will closely monitor the various discussions in the National Assembly and proceed accordingly."

On the introduction of the delivery price linkage system, a concern for small and medium-sized enterprises and mid-sized companies, he promised, "We will actively resolve the issue where delivery prices are not well reflected despite rising raw material costs," but refrained from specific comments. Regarding inflation, he said, "The FTC cannot set a goal to directly control prices," but added, "Within the framework of competition law, we will review whether there have been any issues such as unfair price increases."

He actively explained his background working at the law firm Kim & Chang and his experience as an outside director at Kumho Petrochemical and KB Kookmin Bank.

Song emphasized, "As someone from Kim & Chang, whether I will reflect the interests of companies represented by Kim & Chang, I dare say you can rest assured." He said, "My lifelong career is only as a professor," adding, "I think Kim & Chang would dislike being classified as a Kim & Chang alumnus just because I briefly worked there for six months after returning from studying abroad." He also explained, "In the legal community, whether intentionally or unintentionally, one naturally interacts a lot with law firm lawyers," and "We regularly hold meetings to discuss recent issues and obtain information."

Regarding his experience as an outside director at Kumho Petrochemical and KB Kookmin Bank, he said, "If those companies have problems, of course, the law will be enforced according to principles."

Song responded to media criticism regarding sexual harassment allegations stemming from remarks he made to students during his time at Seoul National University Law School, calling it a painful mistake. He said, "I am very sorry and still deeply reflecting," adding, "If that disqualifies me, I am prepared to accept it calmly."

He explained, "Most of the facts reported in the media are correct," and "I was extremely intoxicated because I drank too much too quickly, which is the painful part." He continued, "Knowing that such an incident happened made me want to hide in a hole," and "I deeply regretted it and sincerely apologized." He added, "When I was offered the FTC chairman position, that was the part that weighed most heavily on my mind," and "I even mentioned that it might be difficult because of this issue." He further said, "Even if this causes me to be unqualified or problematic, I am mentally prepared to accept it calmly," and "If this issue escalates to the point where it is absolutely unacceptable, I am considering the possibility of stepping down, commonly called 'falling from grace.'"

After President Yoon Seok-yeol nominated Song as the FTC chairman candidate on the 4th, a media outlet reported, citing a Seoul National University Law School official, that Song, during a dinner with about 100 first-year students in 2014, made drunken remarks evaluating their appearances, saying things like "You are average-looking, you are below average, you are above average." To one female student, he reportedly said, "Did you go somewhere like Lee Hyori?" and "We couldn't toast without you," and to another female student, he allegedly pointed to a male student present and said, "Don't you want to be hugged by him?" and "I want to be hugged."

When asked if President Yoon gave him any instructions, Song said, "He called and said, 'I think you will do well. Please do well,'" adding, "If market order is not corrected, the market economy itself will collapse. The president knows how important the FTC is, so he probably asked me to do well."

Song is a classmate of President Yoon from the 23rd Judicial Research and Training Institute. After working as a lawyer at Kim & Chang Law Office from 2002 to 2003, he served as an assistant professor and associate professor at Seoul National University Law School and was appointed professor in 2012.