(Sejong = Yonhap News) Reporter Su-yeon Sue = The Fair Trade Commission has initiated a sanctions procedure for Samsung Group’s unfair internal transactions.
According to industry sources on the 2nd, the Fair Trade Commission recently sent a review report to Samsung that it plans to accuse Samseom Group affiliates of unfair support for Samsung Welstory to the prosecution and impose penalties on group affiliates.
If the FTC sends an examination report and the company submits an opinion within up to four weeks, the FTC will determine the level of sanctions such as prosecution charges and fines at a plenary meeting.
The FTC is expected to hold a plenary meeting next month as early as next month to determine the level of sanctions against the Samsung Group.
The FTC’s Corporate Group Bureau has been investigating the allegations of unfair support by the Samsung Group to Samsung Welstory since 2018.
As of 2019, Samsung Welstory, a food service provider, posted 38.3% of its sales as part of its affiliates. It is a wholly-owned subsidiary of Samsung C&T, the largest shareholder of Samsung Group, including Vice Chairman Lee Jae-yong.
An official from the Fair Trade Commission said, “The final decision, such as whether to accuse the prosecution and impose fines, will come from the plenary meeting regarding unfair support for Samsung Welstory.”