Subscribe
E-Paper
 |
| Suhyup Bank CEO Lee Dong-bin |
There are concerns over another possible leadership vacuum at Suhyup Bank after the government and the National Federation of Fisheries Cooperatives (NFFC) expressed conflicting opinions about the appointment of the bank's next leader.
The conflict erupted after the CEO recommendation committee started the procedure to find a successor to incumbent CEO Lee Dong-bin, whose term ends Oct. 24.
The committee members argued Sept. 7 over a proposed revision in the articles of association to cut the CEO's term from three years to two.
While representatives of the Ministry of Economy and Finance and the Financial Services Commission (FSC) opposed the revision, those of the Ministry of Oceans and Fisheries, the NFFC and the incumbent CEO agreed with the revision, passing the proposal by a majority vote.
The opponents feared that the next CEO may focus only on short-term achievements and the NFFC may intervene more in the bank's management.
After the passage of the proposal, the representative of the finance ministry and the FSC demanded the committee chief's position. The NFFC opposed this, so committee members could not reach an agreement at their meeting on Sept. 11.
Although the finance ministry representative was appointed as committee leader at the following meeting, Thursday, the disputes the committee members have shown aroused concerns they may be in conflict again over CEO candidates.
In 2017, Suhyup Bank suffered a leadership vacuum for six months because the appointment of the new CEO was delayed due to conflict among committee members.
According to the bank, its CEO candidate needs approval from four out of five committee members to become the new leader.
Because the committee is comprised of two representatives of the NFFC and three representatives of the three ministries, its members took eight months to appoint a new CEO in 2017.
