The Financial Services Commission issued an opinion to the Ministry of Strategy and Finance against designating the Financial Supervisory Service as a public institution.
According to the financial authorities on the 11th, the Ministry of Finance notified the Financial Services Commission last month that the Financial Supervisory Service meets the requirements of public institutions under the Act on the Operation of Public Institutions, and requested a reply.
Public institutions are divided into public enterprises, quasi-governmental institutions, and other public institutions.
When designated as a public corporation or quasi-governmental institution, the responsibility for the operation of the institution is reinforced by applying strict management evaluation and management guidelines, and strengthening checks and balances in the governance structure.
When designated as other public institutions, the transparency of the institution is enhanced through management disclosure.
The Financial Services Commission has already conveyed its position against the designation of a public institution, as the FSS is controlled at a level comparable to that of public institutions.
An official from the Financial Services Commission said, “According to the Financial Services Commission’s Establishment Act, the Financial Supervisory Service’s budget and settlement are finally deliberated and decided by the Financial Supervisory Service.” “No.”
Finance Commissioner Eun Seong-soo also met with reporters last year and said, “I hope that the designation of a public institution will be withheld with conditions (as now),” regarding the FSS’ designation of a public institution.
In 2018, the government deferred the designation of a public institution by the Financial Supervisory Service under conditions such as eradication of hiring corruption, public agency level management disclosure, strict management evaluation, and resolution of inefficient organizational operation problems.
There are also observations that the FSS will be designated as a public institution this year due to controversy over the lack of supervision of the’lime-private equity crisis’, but contrary to the Financial Services Commission, the designation of a public institution is highly likely to be withheld again.
The Ministry of Information and Transportation’s Public Institution Steering Committee is scheduled to hold a meeting at the end of this month and conclude whether the Financial Supervisory Service is designated as a public institution.
/yunhap news
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