People Power Party to Push for Parliamentary Investigation into Leveraged ETF Scandal, Special Prosecutor Possible if Illegal Acts Found

Members of the National Assembly's Political Affairs Committee from the People Power Party have decided to push for a parliamentary investigation regarding the leveraged single-stock Exchange Traded Fund (ETF) incident. Referring to the event as the "ETF Gate," they stated, "If illegal activities are confirmed, we will also pursue investigation by a special prosecutor."

Seo Iljun, the opposition secretary of the National Assembly's Political Affairs Committee, held a press conference at the National Assembly on the morning of September 3, 2026. He announced, "We will pursue a parliamentary investigation to clarify the policy decision process and responsibilities surrounding the introduction of single-stock leveraged ETFs," adding, "We will get to the bottom of the substance and accountability of the so-called 'ETF Gate.'"

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Seo further stated, "There is an estimate that individual investors have incurred losses amounting to approximately 54 trillion won through investments in single-stock leveraged ETFs," and emphasized, "When losses of this magnitude have occurred, it is not merely a matter of market conditions or investor responsibility—the government must be thoroughly scrutinized for what evaluation and procedures were conducted before introducing such high-risk products."

Addressing the resignation of former Blue House policy chief Kim Yongbeom, Seo said, "There are allegations that former policy chief Kim and the son of Lee Chanjin, the head of the Financial Supervisory Service, both worked at Mirae Asset Global Investments, and that Kim met with the head of a particular financial institution. We must clearly confirm whether there was any potential for a conflict of interest."

Seo also stated, "Former policy chief Kim should appear as a witness in the parliamentary investigation and directly explain to the public regarding various suspicions." He continued, "The roles that the Blue House, the Office for Government Policy Coordination, the Financial Services Commission, and the Financial Supervisory Service played; the reasons for rushing the introduction of the product; the extent of reports made to the President; and any related instructions from the President must all be clarified through the parliamentary investigation."

Seo concluded, "Through a parliamentary investigation, we will make the decision-making process and accountability absolutely clear, and if any serious illegal or unlawful conduct is confirmed, we will push for a special prosecutor as well," adding, "The resignation of former policy chief Kim is not the end, but rather the beginning of uncovering the full truth."

This content was produced with the assistance of AI translation services.