• KRX proposed revisions to Enforcement rules of securities market disclosure regulations, to ensure promptness when handling multiple unfaithful disclosures.

Revisions

• Modify the term comprehensive deliberation to instead read consolidated deliberation.
• Add 1 penalty point for each violation, in order to prevent the penalty level from being excessively reduced due to consolidated deliberation.
• Consolidated deliberation may not be conducted, where penalties under consolidated deliberation are deemed less favorable than those under individual deliberations.
• Enable simultaneous deliberation, where multiple disclosure violations occur on the same day or additional designation as unfaithful disclosure corporation is expected while such designation has already notified in advance for another violation.
• Apply 6 reasons for reduction in penalty points related to the history of designation as unfaithful disclosure corporation only to one out of multiple violations.
• Exempt listed firms which have been undergoing substantive review due to disclosure violations from deliberation by the listing and disclosure committee.
• Expand deferment of designation as unfaithful disclosure companies to those designated as excellent disclosure companies in the past 5 years (instead of 3 years).

Effectiveness

• Comments are open to the public, which shall be submitted by 15 November 2023