Financial authorities are set to initiate inspections of MG Community Credit Cooperatives amid an increasing risk of financial instability. This marks the first examination on MG conducted by financial regulatory authorities instead of the Ministry of the Interior and Safety, which normally supervises the credit union.
Woori Financial Group, one of Korea s major financing holding firms, said Thursday it will purchase its remaining stake held by a state-run deposit insurer in a move to help the financial group complete its privatization.
Tensions are mounting in the financial industry amid speculation that the National Assembly may summon the chairmen of financial holding groups during the upcoming national audit. This year, the industry has faced criticism over its lack of internal controls ― which have led to significant cases of embezzlement by employees ― unfair trading and a surge in household debts.
MG Non-Life Insurance is increasingly drawing attention from multiple potential buyers after it was put up for sale last year, as acquisition of the mid-tier insurer appears a cost-effective means of business diversification.
Jitters over a run on the Korean Federation of Community Credit Cooperatives, also known as MG Community Credit Cooperatives, are showing signs of calming down. Withdrawals subsided and many of those who rushed to withdraw savings are redepositing them. According to an inter-agency response team, deposit withdrawals from KFCC turned to a downward trend on July 7. They shrank about 1 trillion won ($765 million) from a.