(Park Yong-jin, a Democratic Party member with Facebook)
On the 17th, Democratic Party lawmaker Park Yong-jin pressed the financial authorities by insisting on extending the ban on short selling.
The Financial Services Commission’s official position is that the ban on short selling will only last until March 15 this year. Prime Minister Jeong Sye-gyun also gave a statement to put emphasis on tools. Criticism has been raised that the government and the ruling party are conscious of the re-election in April, abolishing short selling by individual investors, and raising policy uncertainty.
In response, Rep. Park said that it is the duty of the National Assembly members to actively pursue a fair system, pointing to the direction of system improvement to the financial authorities and pressing the extension of the ban on short selling.
Rep. Park said, “The improvement of the market maker system (which the Financial Services Commission announced that there is a problem) will be implemented in the first half of this year, and the establishment of the illegal short selling detection system will be completed in the third quarter of this year. Without a proper solution, they are only interested in resuming short selling. It is necessary to make a roadmap of improvements and specifically clarify which problems will be resolved when and how.”
At the same time, it suggested’joint responsibility for securities companies’ as a measure to improve short selling. He said, “I think the biggest key to solving the short selling problem is strengthening joint responsibility for securities companies. Securities companies that are currently trading brokers for illegal short selling are not subject to punishment. “It is natural that securities companies that acquire exclusive licenses to make transactions in the market and earn money have the obligation to block and inspect illegal activities.”
“In order for short selling to function properly in accordance with the purpose of its introduction in the future, the problems presented by the financial authorities must be resolved and the core institutional improvements that I have argued must be reflected.” The FSC will be criticized for being irresponsible,” he warned.
Regarding the criticism that the politician’s opinion on whether to resume short selling is inappropriate, “Securities companies, financial officials, and even members of the People’s Power are agreeing to the criticism. “It is the duty of the National Assembly members to improve the unfair system,” he said. “It is the incompetence of the National Assembly and irresponsibility of the politicians to remain silent even though they know the problem of short selling.”
He said, “We will prepare measures to improve the system so that short selling can be established as a system that performs its net function properly, and we will present it soon.