Joo Byungki: "No Issues with FTC Investigations... Rules to Be Revised to Prevent Evasion"

Controversy Over Refusal to Cooperate With Investigations:
"Undermining the Last Line of Defense for Small Merchants"

U.S. Congressional Pressure on Visa Restrictions:
"Commitment to Non-Discriminatory Law Enforcement"

Resolving Defense Industry Monopolies and Enhancing Collective Bargaining Rights for Franchise Owners

Joo Byung-Ki, Chairman of the Korea Fair Trade Commission, stated on the 21st, "Based on what we have identified so far, we have found no unusual points or issues in the Fair Trade Commission’s investigation procedures compared to the past," adding, "There has never been an instance where corporate operations or production activities have been suspended due to an on-site investigation."

Joo Byung-ki, Chairman of the Fair Trade Commission, is speaking at a press conference held on the 21st at the Government Complex Sejong on the first anniversary of his inauguration. Fair Trade Commission.

"Blocking Any Loopholes to Evade Investigations"… Prevention Measures Planned Amid Controversy Over Refusal to Cooperate With Investigations

At a press conference with the press corps marking the first anniversary of his inauguration held on the 21st at the Government Complex Sejong, Chairman Joo emphasized, "On-site investigations by the Fair Trade Commission are conducted with the consent of the parties being investigated. This is fundamentally different from police or prosecutors' criminal searches and seizures. We regard any situation in which an on-site investigation cannot be effectively carried out as a very serious matter." With this remark, Chairman Joo dismissed recent concerns raised by some companies about the fairness of such investigations.

Particularly regarding Coupang's refusal to cooperate with the on-site investigation over alleged violations of the Act on Fair Transactions in Large Business Franchise, Chairman Joo stated, "Fair Trade Commission laws serve as the last line of defense to protect the rights and interests of economically vulnerable groups, such as the hundreds of thousands of small merchants dealing with large retailers. If investigations cannot be conducted properly, there will be no way to protect their rights in the future." He went on to say, "We plan to review amendments to internal rules to eliminate any possibilities for parties to evade investigations in such a manner," making clear the Commission’s commitment to closing institutional loopholes.

Chairman Joo also drew a clear line against criticism from some in the business community that the Fair Trade Commission's regulations stifle corporate management. He stated, "The claim that regulations should be eased because they restrain business activity is simply baseless," and emphasized, "It is the Fair Trade Commission's mission to realize the logical principle that abnormal management and unfair practices must be curbed so that proper corporate activities can thrive." He further asked rhetorically, "If money can be made through expedients, illegalities, fraud, intimidation, and exploitation, who would work hard and earn an honest living?" and declared, "We will strengthen economic sanctions so that the financial cost of violating the law will be significantly greater than the undue gains from unfair conduct."

Emphasizing Steadfast Law Enforcement Amid U.S. Pressure… Second Organizational Restructuring to Begin in October

Regarding the recent pressure to limit visa access to Korean officials raised by U.S. House Judiciary Committee Chairman Jim Jordan alongside the restrictions on Coupang, Chairman Joo asserted, "We will not be swayed by such pressures and will continue to enforce the law strictly and without discrimination, while maintaining procedural fairness." He emphasized his position by adding, "For the past 25 years, we have actively enforced laws against foreign companies, and not once has any foreign competition authority taken issue with procedural unfairness," reaffirming the Commission’s commitment to impartial law enforcement regardless of outside pressures.

Chairman Joo also presented a sweeping blueprint for organizational reform and comprehensive policy innovation to reinforce strong investigative principles. He stated, "We will actively utilize the investigatory capabilities of the newly established Special Investigation Planning Division, launching on October 1, to swiftly and intensively monitor unfair practices in areas closely related to the public’s livelihood." He also mentioned the establishment of the Economic Analysis Bureau, the first bureau-level unit of its size in the history of the Fair Trade Commission, with 37 staff. He explained, "As complex new forms of anti-competitive behavior emerge, it has become difficult to prove illegality without advanced economic data analysis capabilities," adding, "This new unit will not only prove illegality but also play a key role in enhancing the precision of undue gains recovery and fine calculation, thereby ensuring the effectiveness of our sanctions."

Resolving Defense Industry Monopolies… Speeding Up Deliberations on Treasury Bond Rate Collusion Cases and Others by Year-End

Joo Byung-ki, Chairman of the Fair Trade Commission, is speaking at a press conference on the first anniversary of his inauguration, held at the Government Complex Sejong on the 21st. Fair Trade Commission.

The Commission will also accelerate structural institutional reforms to resolve monopolies and protect weaker parties. Regarding the defense industry, Chairman Joo stated, "We are reviewing the need to maintain current defense procurement restrictions due to national security concerns, and we are coordinating with relevant ministries to promote new market entries and address the excessive concentration of a few designated firms." As for the franchise market, he explained, "Given that over 60% of franchisors are small businesses, we are considering relaxing the requirements for franchise owners with fewer than 30 franchisees so they can form franchisee associations." Furthermore, to stamp out habitual collusion that mocks regulatory authority, he declared, "We will introduce systems to restrict actual market participation—such as registration or license cancellations and suspensions of business operations—focusing on about 20 key industries like safety, environment, and transportation."

The Commission is expediting deliberations on high-profile cases that have drawn market attention, aiming to wrap them up by the end of the year. Regarding the Treasury bond interest rate collusion case, which has been reviewed in three full committee meetings, a Commission decision is expected soon. The business combination between Naver and Dunamu, which has attracted attention due to the merging of two dominant platforms, will also undergo thorough data validation for a targeted completion of review within the year. In addition, the investigation into price collusion among refinery companies—a case closely tied to consumer prices—is expected to conclude by October, when the Commission will decide whether to initiate formal deliberations.

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