Binggrae Chairman Kim Ho-yeon Under Investigation for Alleged Favoritism Toward Logistics Company Owned by His Children

 

 

 

The Korea Fair Trade Commission (KFTC) has recently launched an investigation into allegations that Kim Ho-yeon, Chairman of Binggrae, unfairly directed business opportunities to a logistics subsidiary owned by his children.

According to industry sources on the 9th, the KFTC is investigating possible violations of the Fair Trade Act by Binggrae, focusing on whether illegal activities took place when its subsidiary, Haitai Ice Cream, terminated its contract with an existing partner and signed a new contract with a logistics company called "Jette," owned by Chairman Kim's children.

"Jette" is a company fully owned by Kim's eldest son Kim Dong-hwan, eldest daughter Kim Jung-hwa, and second son Kim Dong-man, and is at the center of the favoritism allegations.

In particular, the KFTC is investigating whether there was undue interference in the process where Haitai Ice Cream cut ties with its previous partner, Dongsan Industrial, and entered into a contract with "Jette."

Additionally, the KFTC's Daegu office is investigating potential violations of the Subcontracting Act.

It is reported that the investigation is closely examining whether the process of switching from the previous partner to "Jette" involved any breaches of the Subcontracting Act.

A Binggrae spokesperson stated, "We are fully cooperating with the Fair Trade Commission's investigation."

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Binggrae Chairman Kim Ho-yeon Under Investigation for Alleged Favoritism Toward Logistics Company Owned by His Children