Hana Financial Group Chairman Kim Jung-tae / Korea Times file

By Kim Yoo-chul

Does Hana Financial Group Chairman Kim Jung-tae still think the way he is treated is “unfair?” The answer is “No,” at least for the time being.

The reason is simple. Kim, who went to the same regional high school in Busan as President Moon Jae-in, was tapped as sole candidate by the group’s chairman search committee as the figure to “get the job done” in the next three years.

The committee’s recommendation of Kim as chairman should get approval from a shareholders’ meeting in March. But it’s unlikely the plan will be reversed in the upcoming meeting.

It will extend Kim’s term for a third time to 2021; however, he himself and Hana Financial face the steep challenge of overhauling its hard-charging sales culture without gutting profits, mending the souring ties with financial authorities and responding to labor union opposition.

Until recently, financial authorities wanted Kim to voluntarily leave the position after his second term ends, with Financial Services Chairman (FSC) Choi Jong-ku saying the regulator doesn’t support moves by local banking groups to favor “one specific person” to continue in the top job.

Choi’s remarks were understood by many in the finance industry as the FSC’s apparent veto to block Kim from taking the helm of the bank for another three years.

But Hana resisted by saying the regulator was trying to intervene in what Hana said was an “internal issue,” which was inappropriate. FSC delayed its inspection of Hana over allegations that Hana offered a favor to a local start-up for loans.

“Kim will be trying hard for an early recovery of the bank’s relationship with the financial authorities. In Korea, it’s really important for banks or banking groups to maintain healthy relations with regulators,” said an official at FSC.

In a press statement, Kim Jung-tae vowed to improve transparency in management and to comply with guidelines by the financial authorities to overhaul its holding structure.

“These are the gestures that Kim will be paying more attention to to stop the standoff with financial regulators,” said the FSC official.

Kim’s apparent failure to win backing from Hana’s labor union is also cited as a key challenge that needs to be addressed, according to Hana officials.

Hana’s labor union submitted its opposition view to the National Pension Service (NPS), the biggest stakeholder in Hana, and a proxy advisor, Institutional Shareholder Services (ISS). Union representatives said they will take Kim’s ethical issues that have been unpublished on the main issue in the shareholders’ meeting.

“We want the committee to provide its key criteria as we have some questions whether or not Kim’s ethical issues were properly evaluated during the screening process,” its labor union said in a separate statement.

Hana’s total assets were about 360 trillion won. It is one of the nation’s leading financial groups. Last year, it reported 1.92 trillion won in net profit, up from 909 billion won that it generated in 2015, according to FN Guide, an industry tracker for banks activities.

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Fonte: http://www.koreatimes.co.kr/www/common/vpage-pt.asp?categorycode=488&newsidx=242956

Os textos, informações e opiniões publicados neste espaço são de total responsabilidade do(a) autor(a). Logo, não correspondem, necessariamente, ao ponto de vista do Central da Pauta.

​Os textos, informações e opiniões publicados neste espaço são de total responsabilidade do(a) autor(a). Logo, não correspondem, necessariamente, ao ponto de vista do Central da Pauta.