Coupang Refuses FTC Raid, Files Lawsuit
The Fair Trade Commission (FTC) withdrew from an on-site investigation of Coupang after the company strongly resisted the probe. Coupang's refusal to allow the FTC to conduct the on-site investigation and its subsequent lawsuit seeking to have the probe canceled mark the first such case since the ag
Coupang has refused an FTC on-site investigation into alleged violations of the Large Retail Business Act, filing a lawsuit to have the probe canceled. This marks the first such case since the FTC's establishment in 2012. The FTC had planned to investigate Coupang's headquarters from August 19 to 28, with the probe intended to determine whether the company improperly passed on the cost of its price-matched coupons to suppliers.
Coupang argues that the FTC failed to provide written notice at least seven days before the investigation, citing the Administrative Investigation Framework Act. The agency, however, maintains that it may conduct an investigation without prior notice in cases where there is a risk of evidence being destroyed. The case is currently being reviewed, with the FTC considering criminal prosecution and a maximum administrative fine of 200 million won.
Brief written by urgent.news from BusinessKorea's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
