The South Korean antitrust watchdog plans to fine heads of conglomerates for omitting affiliates from regulatory filings to avoid antitrust rules, according to a Fair Trade Commission release on Tuesday.

The antitrust body will fine conglomerate heads with penalties of up to 10% of the larger of the combined assets or average annual sales of the omitted affiliates.

The FTC also outlined governance reforms, including curbing duplicate listings under the holding company system and requiring disclosure of minority shareholder rights exercises and compliance management practices.3