If the regulator finds activity was fraudulent, it can refer cases to the prosecution office. (Reporting by Choonsik Yoo; Editing by Sonali Paul)
SEOUL, April 27 (Reuters) - South Korea's financial
markets regulator said on Thursday it would strengthen its
oversight of disclosures by listed companies on their business
plans, citing a danger of speculative activity in their stocks.
The Financial Supervisory Service (FSS) said in a statement
many companies announced plans to add popular sectors such as
rechargeable batteries, artificial intelligence and robotics to
their businesses but failed to disclose progress later.
The move came after stock prices of several companies making
such announcements showed unusual rallies before crashing in a
relatively short period and without any clear event.
It said it would strengthen its probes into stock price
movements and transaction patterns for companies making such
announcements and carry out swift investigations into suspicious
cases for punishment.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.