FSC: Detection and measures taken against the use of undisclosed important information by public purchasers and public purchase advisory firm employees

Purpose:
The purpose of this document is to inform the public about the enforcement actions taken by the Capital Market Investigation Office against individuals who have utilized unpublicized important information for their own benefit or that of others, including employees of companies advising on public offering. This includes cases involving public offering buyers and advisory company staff.

Effects on Industry:
The enforcement actions taken by the Capital Market Investigation Office are expected to have a significant impact on the industry, as they aim to prevent the misuse of unpublicized important information. These actions will likely deter individuals from engaging in such practices and promote a culture of transparency within companies advising on public offerings. Furthermore, these measures may also contribute to increased investor confidence and trust in the market.

Relevant Stakeholders:
The relevant stakeholders affected by this update include businesses involved in public offerings, investors, and employees of advisory companies. These individuals are expected to be aware of their responsibilities to maintain confidentiality and integrity in handling unpublicized important information. The enforcement actions taken will likely have a ripple effect across the industry, with companies and employees adapting to new standards of transparency and accountability.

Next Steps:
In response to this update, businesses involved in public offerings should take immediate action to review and strengthen their internal controls and procedures for handling unpublicized important information. This includes implementing measures to prevent unauthorized access or misuse of such information and ensuring that all employees are aware of their responsibilities and the consequences of non-compliance. Additionally, investors should be vigilant in monitoring companies’ activities and reporting any suspicious behavior.

Any Other Relevant Information:
Additional relevant information includes the importance of maintaining confidentiality and integrity when handling unpublicized important information. Companies and individuals must understand the severity of violating these principles and the potential consequences, including enforcement actions taken by regulatory bodies like the Capital Market Investigation Office.