'Violation of Fair Trade Act' Kim Sang-yeol, Former Hoban Construction Chairman, Fined 150 Million Won

[Image source=Yonhap News]

[Asia Economy Reporter Kim Daehyun] Former Hoban Construction Chairman Kim Sang-yeol was sentenced to a fine in the first trial for excluding affiliates and family members from the Fair Trade Commission's reporting data.

On the afternoon of the 8th, Judge Lee Won-jung of the Seoul Central District Court Criminal Division 19 sentenced former Chairman Kim, who was indicted for violating the Monopoly Regulation and Fair Trade Act, to a fine of 150 million won.

Judge Lee stated, "Considering the legislative purpose and content of the Fair Trade Act, the scale of Hoban Construction, and its impact on the national economy, the nature of this crime is not favorable," but added, "Taking into account that there was no special motive or apparent benefit expected from the crime, it appears that the offense was committed with conditional intent."

He further added, "Considering the absence of mutual shareholding, circular shareholding, and debt guarantees, as well as the fact that the fine does not exceed previous penalties or involve prior similar offenses, the summary order fine amount will be maintained as is."

Earlier, the Fair Trade Commission accused former Chairman Kim of deliberately omitting 13 affiliates and 2 relatives from the large business group designation data between 2017 and 2020, and reported him to the prosecution. After investigating related parties, the prosecution filed a summary indictment against former Chairman Kim in July.

Subsequently, Judge Kim Taek-seong of the Seoul Central District Court Criminal Division 2 referred former Chairman Kim, who was subject to a summary order for violating the Fair Trade Act, to a formal trial. A summary order is a procedure that imposes penalties such as fines, fees, or confiscation without a formal trial when the charges are relatively minor. The presiding court can transfer the case to a formal trial ex officio. The fine amount originally requested by the prosecution was also 150 million won.