Samsung Compliance Committee to Hold Meeting with Representatives of 7 Samsung Companies Tomorrow

All Deputy Commissioners Including Chairman Lee Chan-hee
Attendance by Han Jong-hee Samsung Electronics Vice Chairman and Representatives of 7 Affiliates

The Samsung Compliance Committee (Jungamwi), an organization overseeing compliance management within Samsung Group, will meet on the 22nd with CEOs of major affiliates including Samsung Electronics (Samsung C&T, Samsung SDI, Samsung Electro-Mechanics, Samsung SDS, Samsung Life Insurance, Samsung Fire & Marine Insurance).

According to business circles on the 21st, all members of Jungamwi, including Chairman Lee Chan-hee, will hold a regular meeting on the morning of the 22nd at the Samsung Life Seocho Building in Seocho-gu, Seoul, and then move to the Samsung Electronics Seocho Building to have a roundtable discussion with the top executives of the seven affiliates.

Attending this roundtable will be Han Jong-hee, Vice Chairman of Samsung Electronics; Oh Se-cheol, President of Samsung C&T; Choi Yoon-ho, President of Samsung SDI; Jang Deok-hyun, President of Samsung Electro-Mechanics; Hwang Sung-woo, President of Samsung SDS; Hong Won-hak, President of Samsung Life Insurance; and Lee Moon-hwa, President of Samsung Fire & Marine Insurance. This meeting marks the first introductory gathering since the launch of the third term of Jungamwi in February this year. Meetings between Jungamwi and Samsung’s top management also took place once each during the first term in 2021 and the second term in 2022.

Jungamwi is an independent organization that is not subject to Samsung’s instructions in form, with Samsung Electronics and six major affiliates participating as signatories to the agreement and being monitored by Jungamwi. At this roundtable, Jungamwi and the representatives of each company are expected to exchange opinions on current issues related to strengthening compliance management within the group. In particular, matters such as the payment of membership fees to the Korea Economic Association (Han Kyung Hyup) and labor-management relations are anticipated to be discussed.

Earlier, on April 4th, Han Kyung Hyup sent official letters requesting payment of membership fees amounting to 3.5 billion KRW to the four major groups (Samsung, SK, Hyundai Motor, LG), and it is known that each group is currently deliberating on the timing of the payment. In Samsung’s case, according to the recommendation for joining Han Kyung Hyup announced by Jungamwi in August last year, prior approval from Jungamwi must be obtained before paying the membership fees.

Chairman Lee stated to reporters last month regarding the payment of membership fees, "We have not yet formally addressed this as an agenda item," adding, "Since the organization is operated by contributions from its members, I believe that the use of funds and the post-monitoring system must be clearly explained and understood by the members."

Meanwhile, Jungamwi is also scheduled to meet with Samsung Electronics Chairman Lee Jae-yong soon. Chairman Lee Chan-hee has already announced a 'meeting with Chairman Lee in the near future.' If the meeting between Chairman Lee and the third term Jungamwi takes place next month, it will be their first meeting in about 1 year and 10 months. Chairman Lee (then Vice Chairman) met with Jungamwi members for about an hour on October 12, 2022.