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Photo = FSS |
[Alpha Biz= Reporter Kim Sangjin] The Financial Supervisory Service (FSS) is set to conduct a preliminary inspection of Woori Financial Group and Woori Bank in response to allegations of improper lending practices.
According to financial sector sources on September 23, the FSS will start the preliminary inspection on September 24, followed by a regular inspection scheduled for early next month. Originally, the FSS planned to conduct a regular inspection of Woori Financial Group and Woori Bank next year. However, the situation escalated following the arrest of a relative of former Woori Financial Chairman Son Tae-seung in connection with the improper loan scandal, prompting the FSS to expedite the inspection schedule.
The FSS will review the overall operations of the group and the bank, focusing on allegations of improper loans involving the former chairman's relatives and assessing the credit handling and internal control systems. According to prior reports, Woori Bank extended loans amounting to 61.6 billion KRW to corporate and individual borrowers associated with the former chairman over the past four years, with 35 billion KRW identified as inappropriate loans.
Additionally, the FSS will examine the appropriateness of Woori Financial's acquisition of an insurance company.
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
