Stock price manipulation investigation shortened by up to half... 'Joint Response Team' launched

The timeframe for examining unfair trading incidents within the stock market will be condensed from the current 12-15 month average to an anticipated 6-7 months.

This adjustment stems from President Lee Jae-myung's recent mandate to aggressively tackle unfair trading practices, resulting in the formation of the financial authorities' 'Joint Response Task Force to Eradicate Stock Manipulation.'

During a press briefing at the Korea Exchange in Yeouido, Seoul, on the morning of the 9th, Lee Yoon-soo, a permanent member of the Securities and Futures Commission under the Financial Services Commission, announced, "We intend to establish a joint response team where the Financial Services Commission, Financial Supervisory Service, and the Korea Exchange will collaborate in a unified location at the exchange."

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While the joint response team itself will not possess direct sanctioning powers, its primary objective is to optimize the Korea Exchange's capabilities in expediting case processing. Previously, the stages of detection, investigation, and sanction were segmented across different entities, leading to inefficiencies. The new approach aims to streamline these processes by minimizing redundancies and fostering a swift operational framework.

A representative from the financial authority elaborated, "By accelerating the investigation process of unfair trading, we aim to significantly enhance investor protection and bolster market trust." The spokesperson further noted, "This initiative is crucial for delivering a more robust and rapid response to critical incidents, such as stock price manipulation."