Latest news with #FinancialInvestmentServicesandCapitalMarketsAct
Korea Herald
6 days ago
- Business
- Korea Herald
Strengthening domestic agent system, savings banks
Proposed Bill: Partial Amendment to the Financial Investment Services and Capital Markets Act Proposed by Rep. Min Byoung-dug (Democratic Party of Korea) ● This bill would expand the scope of underlying assets for financial investment instruments and trust property to include virtual assets, laying the groundwork for the introduction of spot virtual asset exchange-traded funds in Korea. Proposed Bill: Partial Amendment to the Act on Promotion of Information and Communications Network Utilization and Information Protection Proposed by Rep. Kim Jang-kyom (People Power Party) ● This bill would explicitly include "handling requests for the deletion of rights-infringing information" and "implementing corrective orders related to illegal content" within the scope of duties assigned to domestic agents of foreign platform service providers, to strengthen the effectiveness of the domestic agent system. Pending Bill: Partial Amendment to the Commercial Act Proposed by Rep. Lee Jung-mun (Democratic Party of Korea) ● This bill would expand the scope of directors' duty of loyalty to include not only the company but its shareholders as well, and would limit the voting rights of the largest shareholder to 3 percent when appointing audit committee members. Administrative Announcement: Partial Amendment to the Enforcement Decree of the Mutual Savings Banks Act Competent Authority: Financial Services Commission ● This draft amendment would offer incentives to savings banks for handling policy financial products and extending loans outside the Seoul Metropolitan Area, aiming to strengthen their role in providing small-loan financial services. For queries about the bills, contact cr@
Korea Herald
23-06-2025
- Business
- Korea Herald
Shareholder voting rights, private equity fund limit
The Korea Herald republishes a weekly legislative report by local law firm DR & AJU LLC to provide the latest information on bills approved, proposed, pending and set to be promulgated. — Ed. Proposed Bill: Partial Amendment to the Commercial Act Proposed by Rep. Lee Jung-mun (Democratic Party of Korea) ● The bill would broaden the scope of directors' duty of loyalty to include shareholders as well as the company, and limit the largest shareholder's voting rights to three percent when appointing audit committee members. Proposed Bill: Partial Amendment to the Financial Investment Services and Capital Markets Act Proposed by Rep. Kim Hyun-jung (Democratic Party of Korea) ● The bill would reduce the borrowing limit for private equity funds from 400 percent to 200 percent of their net asset value. It would also require them to report to the Financial Services Commission any conflict of interest and measures for its control in asset transactions through SPCs or related-party deals. Pending Bill: Partial Amendment to the Distribution Industry Development Act Proposed by Rep. Oh Sae-hee (Democratic Party of Korea) ● This bill would mandate the head of a local government to designate compulsory closedown dates and impose business hour restrictions on superstores, while requiring that the closedown dates be selected from public holidays. Promulgated Bill: Act on the Improvement of Urban Areas and Residential Environments Competent Authority: Ministry of Land, Infrastructure and Transport ● Effective June 4, the amended law has significantly eased the standards and requirements for reconstruction safety inspections. It exempts apartment buildings over 30 years old from mandatory safety inspections required for reconstruction projects. Administrative Announcement: Partial Amendment to the Enforcement Decree of the Act on the Promotion of Saving and Recycling of Resources Competent Authority: Ministry of Environment ● The draft amendment would expand the scope of products subject to mandatory recovery and recycling to include plastic toys, which must meet a recycling rate annually determined by the Ministry of Environment. For queries about the bills, contact cr@
Korea Herald
16-06-2025
- Business
- Korea Herald
Promoting sustainable, innovative growth in local industries
The Korea Herald republishes a weekly legislative report by local law firm DR & AJU LLC to provide the latest information on bills approved, proposed, pending and set to be promulgated. — Ed. Proposed Bill: Act on the Establishment and Operation of the Southeastern Regional Industrial Investment Corporation Proposed by Rep. Min Byoung-dug (Democratic Party of Korea) ● This bill would establish the Southeastern Regional Industrial Investment Corporation to boost industrial competitiveness and support the sustainable growth of local businesses, with approximately 3 trillion won ($2.2 billion) in capital contributed by public institutions. Proposed Bill: Partial Amendment to the Financial Investment Services and Capital Markets Act Proposed by Rep. Cha Gyu-geun (Rebuilding Korea Party) and Rep. Kim Hyun-jung (Democratic Party of Korea) ● The current Act requires investors holding 5 percent or more of a listed company's shares, or making a 1 percentage point change in shareholding thereafter, to report their shareholding and purpose to financial authorities if the intent is to influence management. This bill would narrow the broad phrase 'to influence management' to 'to substantially influence effective control,' aiming to protect minority shareholders' voting rights. Pending Bill: Special Act on Strengthening Competitiveness and Promoting Innovative Growth in the Semiconductor Industry Proposed by Rep. Lee Chul-gyu (People Power Party) ● This bill proposes allowing swift infrastructure support and exempting research and development workers in the semiconductor industry from the 52-hour weekly work limit with mutual agreement, aiming to enhance the industry's global competitiveness. Promulgated Bill: Special Act on Underground Safety Management Competent Authority: Ministry of Land, Infrastructure and Transport ● Effective May 27, the amended law will authorize the Minister of Land, Infrastructure and Transport to conduct onsite inspections to assess the safety management of underground facilities and surrounding ground in areas at risk of ground subsidence Administrative Announcement: Partial Amendment to the Enforcement Decree of the Personal Information Protection Act ● In line with the recent amendment to the Personal Information Protection Act regarding the domestic agent system, this draft amendment specifies the scope of entities subject to the domestic agent requirement. For queries about the bills, contact cr@ koreadherald@
Korea Herald
21-04-2025
- Business
- Korea Herald
Game user protection, tax credits for subcontractor support
The Korea Herald republishes a weekly legislative report by local law firm DR & AJU LLC to provide the latest information on bills approved, proposed, pending and set to be promulgated. — Ed. Proposed Bill: Partial Amendment to the Game Industry Promotion Act Proposed by Rep. Kim Byung-kee (Democratic Party of Korea) ● This amendment requires game companies to retain records of probabilistic item acquisition outcomes for at least three years and to disclose them to users in order to enhance transparency regarding probabilistic items. Proposed Bill: Partial Amendment to the Act on Restriction on Special Cases Concerning Taxation Proposed by Rep. Kim So-hee (People Power Party) ● This amendment establishes tax credits for expenses incurred to support subcontractors' industrial accident prevention efforts — 3 percent for large companies, 6 percent for middle-standing enterprises and 12 percent for small and midsized businesses — deductible from corporate or income tax in the year the expense was incurred. Pending Bill: Partial Amendment to the Financial Investment Services and Capital Markets Act Proposed by Rep. Yoon Han-hong (People Power Party) ● This amendment clarifies the directors' duty to protect shareholders' interests by specifying that in the event of a merger, an essential business or asset transfer, an all-inclusive stock swap or transfer, or a split or split and merger, the board of directors must make every effort to protect shareholders' legitimate interests. Promulgated Bill: National Pension Act Competent Authority: Ministry of Health and Welfare ● This amendment — Korea's first pension reform in 18 years since 2007 — raises the contribution rate from 9 percent to 13 percent and increases the nominal income replacement rate from 40 percent to 43 percent. ● This amendment renders both the principal and interest of a loan agreement null and void if the annual interest rate exceeds 100 percent, treating such contracts as socially unacceptable lending practices. —-
Korea Herald
31-03-2025
- Business
- Korea Herald
Inheritance tax system reform, aircraft parts tax exemption
The Korea Herald republishes a weekly legislative report by local law firm DR & AJU LLC to provide the latest information on bills approved, proposed, pending and set to be promulgated. -- Ed. Proposed Bill: Partial Amendment to the Inheritance Tax and Gift Tax Act Proposed by Rep. Kwon Young-se (People Power Party) ● This amendment abolishes the inheritance tax on a surviving spouse by eliminating the current deduction cap of 3 billion won ($2.03 million), thereby allowing a full deduction of the inherited amount. Proposed Bill: Partial Amendment to the Financial Investment Services and Capital Markets Act Proposed by Rep. Jung Sung-kook (People Power Party) ● This amendment includes cryptocurrencies as eligible investment assets for asset management companies, enabling collective investment schemes under the Financial Investment Services and Capital Markets Act to issue and trade cryptocurrency-related products. Pending Bill: Partial Amendment to the Distribution Industry Development Act Proposed by Rep. Huh Young (Democratic Party of Korea) ● This amendment expands the range of measures available to local governments when a superstore shows insufficient progress in implementing its regional cooperation plan. Authorities may not only recommend improvements but also disclose the subject and content of those recommendations, issue performance orders or impose charges to compel compliance. Promulgated Bill: Customs Act Competent Authority: Ministry of Economy and Finance ● This bill extends the tax exemption period for aircraft parts through the end of this year to support the aviation industry. It also broadens the scope of virtual asset service providers required to submit taxation data, aiming to curb illegal trading and property concealment through virtual assets by delinquent taxpayers. ● This amendment introduces an inheritance acquisition tax system, under which heirs pay inheritance tax based on the amount of the property they receive.
