KCC Delays Approval for Major Shareholder Change Applications of Yonhap News TV and YTN

Lee Dong-kwan, Chairman of the Korea Communications Commission

The Korea Communications Commission has temporarily postponed the decision on whether to approve the change of major shareholders for Yonhap News TV and YTN.

On the afternoon of the 29th, the Korea Communications Commission held a plenary meeting to discuss the agenda titled "Approval of Change of Largest Shareholder for News Specialized Broadcasting Channel Operators."

Regarding the Yonhap News TV agenda, the Commission stated, "We will decide on the approval after completing necessary procedures such as prior notification of disposition concerning Eulji Hospital's application for change of largest shareholder."

On the same day, the review committee, composed of eight members including Professor Min-gyu Lee from Chung-Ang University, expressed a majority opinion that Eulji finds it difficult to provide a concrete plan to resolve structural issues such as conflicts of interest between Yonhap News and Yonhap News TV and to stably fulfill its public responsibilities as a news channel.

They also pointed out that the feasibility of capital increase is low, the review regarding the channel name change is insufficient, and there is concern that broadcasting business profits might be diverted to the school corporation’s revenue, making it inappropriate from the perspectives of publicness and public interest.

Meanwhile, the review committee expressed an opinion that the acquisition of YTN by Eugene ENT should be approved.

However, the Commission also postponed the decision on the YTN case, suggesting that approval be decided after further confirmation of Eugene’s specific plans addressing the shortcomings pointed out during the review process.

Vice Chairman Sang-in Lee said, "Considering the social impact of news channels and the public responsibility of broadcasting, it is necessary to derive a cautious result."