The Financial Supervisory Service (Financial Consumer Protection Office) will be present at Woori Bank’s Lime Fund-related Sanctions Deliberation Committee on the 25th.
The agency decided that it would not attend Shinhan Bank’s sanctions review scheduled on the same day.
According to the financial sector on the 24th, the Financial Supervisory Service’s subsidiary will appear as a reference to the sanctions review of Woori Bank on the 25th to express opinions on Woori Bank’s consumer protection measures and efforts to relieve damage.
Earlier, the FSS was responsible for the suspension of large-scale repurchases of Lime Funds and informed Woori Financial Group Chairman Son Tae-seung, then Woori Bank President, of the suspension of duties, and Shinhan Bank President Jin Ok-dong, a censure warning.
It is reported that the Ministry of Complaint evaluates that Woori Bank has made efforts to rectify the damage, including sufficient compensation after the incident.
Woori Bank has accepted the Financial Supervisory Service’s dispute settlement proposal to’return 100% of the principal to investors of the Lime Trade Finance Fund (Pluto TF-1).’
In addition, on the 23rd, the Dispute Mediation Committee was held on the 23rd by agreeing on a method of first paying compensation based on estimated damages and then paying for additional collections for other Lime funds whose losses are not confirmed.
If Woori Bank accepts the sub-consolidation proposal and the dispute settlement is completed even for funds with unconfirmed losses, the Lime Fund sold by Woori Bank will be relieved of damage.
On the other hand, the evaluation of Shinhan Bank is mixed.
In June of last year, Shinhan Bank decided to prepay 50% of the principal to Lime Credit Insured (CI) fund investors.
First, half of the subscription amount is given to the victim, and the compensation ratio is determined according to the decision of the FSS Dispute Mediation Committee in the future.
It is reported that the Ministry of Complaint judged that it is difficult to say that it has made sufficient efforts to protect consumers with only the advance payment that provides liquidity.
While fierce battles between the FSS inspection department and each bank are expected in the sanctions review, the opinion of the petitioner may have an impact on the sanctions decision.
In the financial sector, it is observed that Woori Bank may be the first case of sanctions being reduced by being recognized for its efforts to protect consumers during the sanctions review stage.
However, it is the responsibility of the sanctions judges to decide the level of sanctions by taking the general circumstances into consideration by presenting the complaints office as a reference person and expressing opinions on efforts to relieve damage.
/yunhap news
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