Lawmakers from both parties in South Korea's National Assembly called for a strong response after Coupang refused to cooperate with a field investigation by the Fair Trade Commission (FTC). FTC Chairman Joo Byeong-ki expressed concern that limitations on the commission's investigative powers could hinder the enforcement of fair trade laws.
During the FTC's audit session on October 12, the refusal of Coupang to allow the investigation was a key topic of discussion.
Democratic Party lawmaker Min Byeong-deok stated, "Coupang has blocked access to its premises, demanding proof of concerns about evidence destruction. The public is watching how much Coupang disregards the authority of the South Korean government. We should consider a resolution or a statement from the committee chair, or even a joint statement from both parties."
Park Seong-hoon, a lawmaker from the People Power Party, noted, "This is the first time since the implementation of the Large-Scale Distribution Industry Act that a company has refused an FTC field investigation. Despite reaping significant profits and benefits in South Korea, Coupang is hiding behind the shield of being a U.S. company when it faces unfavorable situations."
Committee Chairman Yoo Dong-soo emphasized the need to ensure procedural legitimacy and indicated that legislative measures might be considered if necessary.
Earlier, Coupang had filed a lawsuit to cancel the FTC's field investigation related to allegations of violating the Large-Scale Distribution Industry Act, along with a request for a stay of execution. Last month, the Seoul High Court rejected Coupang's request, stating, "Currently, the public interest outweighs the disadvantages that the applicant (Coupang) may face due to the field investigation decision."
Chairman Joo Byeong-ki stated, "We take this situation very seriously. Most laws enforced by the FTC serve as a last line of defense to protect the rights of economically vulnerable individuals, and the starting point for enforcing these laws is the investigative authority."
He also highlighted the potential repercussions if a court were to grant a stay on the execution of the investigative authority. Joo warned, "If the request for a stay on the investigative authority is accepted, it would render the enforcement of fair trade laws, which are the last bastion for the economically vulnerable, impossible."
He reiterated that current laws allow for field investigations to be conducted without prior notice if there are concerns about evidence destruction. Joo explained, "For the past 15 years, the Large-Scale Distribution Industry Act has been enforced through unannounced investigations, and similar provisions exist in the Administrative Investigation Basic Act for cases where there is a risk of evidence destruction."
* This article has been translated by AI.
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