[Alpha Biz=(Chicago) Reporter Paul Lee] A revision to the Capital Markets Act, which can impose fines of up to twice the unfair profits gained from unfair trade such as stock price manipulation, crossed the threshold of the National Assembly's Legislation and Judiciary Committee on the 29th.

On the 29th, the Legislation and Judiciary Committee of the National Assembly dealt with the bill to revise part of the Capital Market and Financial Investment Business Act (alternative), which reflects the opinions of the Financial Services Commission in the bill of Yoon Kwan-seok and Park Yong-jin of the Democratic Party of Korea. The revision will be finalized at a plenary session of the National Assembly as early as the 30th. About three years after the bill was proposed and pending, the National Assembly is about to pass.

The revision, which was passed this time, calls for imposing fines of up to twice the amount of unfair gains taken by securities criminals through unfair trading such as stock price manipulation. If a securities criminal earns 10 billion won in criminal profits from stock price manipulation, it will impose a punitive fine of 20 billion won, twice as much. If it is difficult to calculate unfair gains, fines of up to 4 billion won can be imposed.

In the case of unfair gains, the Capital Markets Act will specify that the total cost is deducted from the total income. The difference after deducting the total cost for the transaction from the total income generated by illegal transactions such as stock price manipulation or illegal short selling is defined as "unfair gain." Through this, the government plans to quickly and clearly figure out how much unfair profits from securities crimes are.

 

[ⓒ AlphaBIZ. 무단전재-재배포 금지]