Lee Jae-myung Promotes Dialogue with Ant Investors... Accelerating Amendment of Commercial Act

Lee Jae-myung, leader of the Democratic Party of Korea, is reported to have created an opportunity to meet directly with retail investors to hear about the difficulties small shareholders face in the stock market. Having given up on the financial investment income tax (금투세), Lee appears to be pressuring the government and ruling party with a revision of the Commercial Act.

Lee Jae-myung, leader of the Democratic Party of Korea, is speaking at a meeting held on the 11th at the Korea Employers Federation Hall in Mapo-gu, Seoul. Photo by the National Assembly Press Photographers Group

According to political circles on the 12th, Lee is scheduled to attend the event "Donghak Ants Meeting" hosted by Democratic Party lawmakers Park Ju-min and Lee Eon-ju on the 20th. This event is a place where small shareholders attend and express their opinions regarding the recently controversial Commercial Act amendment. A party insider said, "Currently, Lee is in the stage of reviewing how he will meet and listen to small shareholders at the event."

While deciding to abolish the financial investment income tax, Lee pulled out the card of the Commercial Act amendment. He is pressuring the government and ruling party through the amendment by meeting not only retail investors but also business figures. The day before, Lee visited the Korea Employers Federation (KEF) and mentioned the necessity of the Commercial Act amendment. After the meeting with KEF, Cho Seung-rae, chief spokesperson of the Democratic Party, told reporters, "It is a necessary measure for the long-term enhancement of corporate value," adding, "However, if issues such as the application of breach of trust charges, dividend income, and shareholder value enhancement are comprehensively reviewed, the acceptance of the Commercial Act amendment will increase."

The Democratic Party is pushing forward the Commercial Act amendment in line with Lee’s actions. The Democratic Party’s Stock Market Revitalization Task Force (TF), which is promoting the amendment, held a meeting on the 12th to gather opinions from small investors. On the 8th, they held a forum titled "Discussion on Institutional Improvement Measures for Directors’ Duty of Loyalty and Proportional Protection of Shareholders’ Interests," where they heard opinions from academia and the business community regarding the amendment.

The Democratic Party plans to adopt the Commercial Act amendment as the party’s official stance soon in the form of a party members’ meeting. On the same day, Oh Ki-hyung, head of the Stock Market Revitalization TF, told reporters, "The Commercial Act amendment bill has already been proposed and has been coordinated within the party for a considerable period," adding, "Once discussions begin, we can immediately proceed with adopting the amendment as the party’s official stance."