+ A

FSS warns Shinhan against reappointing current chair

Dec 05,2019
From left: Lee Jong-jin, Rhee Sang-ho
The Financial Supervisory Service (FSS) has warned Shinhan Financial Group of legal risks if it reappoints its incumbent chairman Cho Yong-byoung.

Local media outlets reported that the FSS met with two executive members at the group to deliver concerns related to Cho seeking the third term. Cho is currently on trial over allegations of unfair hiring.

The current trial by the Seoul Eastern District Court is scheduled to end in mid-December, and the ruling could be released next month. Shinhan Financial Group initiated the nomination process last month ahead of the end of Cho’s term in March.

Shinhan’s nomination committee accepted the heads of the group’s other affiliates including Shinhan Bank and Shinhan Card as candidates alongside Cho. It will hold a second round of discussions this week.

By Park Eun-jee