[Alpha Biz= Reporter Paul Lee] According to industry sources, the Fair Trade Commission (FTC) has launched a full-scale investigation into the SM Group over allegations of providing unfair support to owner-related businesses.
On the 9th, it was reported that the FTC sent investigators to SM Group's Seoul offices in Sinchon and Magok for an on-site inspection.
The investigation focuses on suspicions that SM Group provided improper support, including funds, to "Taecho ENC," a subsidiary owned by the owner's family, for a real estate project in Seongjeong-dong.
Taecho ENC is a company wholly owned by Woo Ji-young, the daughter of SM Group Chairman Woo Oh-hyun.
It is reported that Taecho ENC purchased land in Seongjeong-dong, Cheonan, using money borrowed from or supported by other subsidiaries, and covered various expenses such as obtaining permits and marketing for the project.
AlphaBIZ Paul Lee(hoondork1977@alphabiz.co.kr)
