The Financial Supervisory Service (FSS) confirmed the comprehensive inspection schedule for KB Financial Group and KB Kookmin Bank, with preliminary inspection starting around August 10. The inspection begins just before KB Financial finalizes its next chairman candidate on September 11, meaning the process will have minimal impact on the chairman selection procedure. The FSS recently verbally notified KB Financial of the inspection schedule and plans to send formal advance notice soon, according to financial authorities and the financial sector on the 28th.
FSS Sets Two-Phase Inspection Schedule Around Chuseok Holiday
The FSS regular inspection typically proceeds with a 2-week preliminary inspection followed by a 5-week main inspection. The preliminary inspection (pre-inspection) will run from around August 10 to August 21, a 2-week period. The FSS entered a 3-week inspection suspension period starting on the 20th, considering summer vacations and other factors, and will resume inspections on the 10th of next month.
The main inspection is scheduled to start around September 7. Due to the Chuseok holiday at the end of September, conducting a continuous 5-week inspection is physically impossible, so the inspection will be divided into Phase 1 and Phase 2. The inspection will proceed in two rounds: approximately 2 weeks before the holiday and 3 weeks after. With substitute holidays for National Foundation Day and Hangeul Day in early October, the second phase inspection is scheduled from October 1 to 23, slightly over 3 weeks.
KB Financial Proceeds with Chairman Selection Amid Inspection Timeline
KB Financial will narrow down the second shortlist on August 27 and select the final candidate on September 11. The main inspection starts just before the final single candidate is confirmed. With approximately 3 shortlist candidates already selected and only interviews and committee members' decisions remaining, halting the process due to procedural deficiencies is impossible at this stage.
A financial sector official stated, "The timing of the FSS comprehensive inspection has been considered a variable for Chairman Yang's reappointment, but with confirmation in September, KB Financial can proceed with remaining procedures according to the existing plan without significant variables."
FAQ
When does the FSS comprehensive inspection of KB Financial Group begin?
The Financial Supervisory Service starts the preliminary inspection around August 10, running until August 21. The main inspection begins around September 7 and will be conducted in two phases due to the Chuseok holiday, with the second phase running from October 1 to 23.
How does the inspection timing affect KB Financial's chairman selection process?
The inspection starts just before KB Financial selects its final chairman candidate on September 11, after the second shortlist is completed on August 27. Financial sector officials indicate the inspection timing means KB Financial can proceed with the chairman selection according to its existing plan without significant impact.
