KFTC Cuts Korean Air Enforcement Penalty by 94%, Sparking Decree Dispute

The Korea Fair Trade Commission is facing controversy after deciding to reduce an enforcement penalty related to Korean Air by 94%. According to Yonhap News Agency, the commission calculated the penalty differently from the standard amount set by an enforcement decree, citing a lower-level administrative notice as its basis. The central issue is whether it was legally appropriate to apply the notice-based standard beyond the amount specified in the higher-ranking decree. The case could affect predictability in the KFTC’s sanction process and in the management of merger-related compliance obligations. Further scrutiny is expected over the grounds for the decision and the consistency of the reduction criteria. Source: yna.co.kr