The Securities and Futures Commission under the Financial Services Commission held a regular meeting on the 2nd, where it approved measures such as notifying the prosecutor's office and imposing a penalty surcharge on STX for violating accounting standards in the preparation and disclosure of financial statements.
According to the Securities and Futures Commission, STX did not reflect provisions or disclose contingent liabilities in its financial statements for the years 2022 to 2023. Despite a lawsuit being filed against its subsidiary overseas, it failed to disclose relevant information.
Additionally, STX is reported to have obstructed external audit procedures by excluding the details of lawsuits from the information provided to external auditors regarding the subsidiary's litigation status.
In this regard, the Securities and Futures Commission decided on a designated auditor for three years, a recommendation for the dismissal of the CEO, a six-month suspension of duties, as well as notifying the prosecutor's office and imposing a penalty surcharge. The amount of the penalty surcharge is expected to be finalized by the Financial Services Commission in the future.