 |
| Park Yong-jin, a member of the Democratic Party. News1 DB © News1 |
Democratic Party lawmaker Park Yong-jin criticized the Financial Services Commission, which is pursuing the resumption of short selling in the stock market, saying, “It is irresponsible to push for resumption of short selling without a system improvement roadmap and countermeasures against illegal activities.”
In addition, he said, “I wonder why the officials of the Financial Services Commission, whom the Prime Minister ignores, are doing such a de facto surpassing act.”
Rep. Park, a member of the National Assembly’s Political Affairs Committee, said on his Facebook page on the 17th, “The Financial Services Commission is forgetting the role of the financial authorities.”
Short selling is an investment method in which stocks that are expected to fall in stock are sold by borrowing and then repurchased at a low price when the actual stock price falls. The Financial Services Commission banned short selling to prevent further panic in the financial market after the stock market crash occurred last year due to the novel coronavirus infection (Corona 19).
The Financial Services Commission is pursuing system improvement with the aim of resuming short-selling transactions on March 16, but individual investors are demanding a permanent abolition beyond the re-extended ban.
Respondent Park said, “The issue of resuming short selling is not an issue that can only be decided by the Financial Commission alone. Yet, it reaffirmed that the goal of resuming short selling in March is by virtually refuting the’government stance unconfirmed remarks’ regarding the resumption of short selling by the Prime Minister.” Pointed out.
Rep. Park continued, “The Financial Services Commission announced last year that there was a problem with the current market maker system and that the system to detect illegal short selling was insufficient, but it is doubtful whether all short selling will be resolved before the resumption of short selling in March.” “The parts that are resolved only after March are visible.”
“The Financial Services Commission hopes to make a roadmap of improvements related to short selling announced on December 18 last year,” he said. “It is not just an announcement that it is a plan or a plan, but what problems will be resolved when and how.” .
Along with this, he urged, “By improving the system, securities companies that are in the middle of illegal activities should also be held accountable. The Financial Supervisory Service should re-investigate and severely punish the illegal short-selling activities of confirmed market makers.”
“It is the duty of the Korean National Assembly members to improve the unfair system,” he also refuted, saying, “It is the incompetence of the National Assembly and the irresponsibility of the politicians to remain silent while knowing the problem.”
goodday