Woori Bank, 4th financial accident this year… Accumulated accident amount KRW 35 billion

[Korea Financial Times, Hong, Ji-in] A financial accident involving fraud of KRW 2.5 billion has occurred at Woori Bank. This is the fourth such accident this year, and the total amount of the accident is approaching KRW 35 billion.

According to the financial sector on the 18th, Woori Bank announced that a financial accident involving fraud due to the submission of false documents by an outsider occurred.

The amount of the accident that occurred on March 14th was KRW 2.5 billion. It is understood that the accident began when a customer who received a discount on a redevelopment commercial building applied for a loan at the pre-discount sale price.
Regarding the circumstances surrounding the discovery of the financial accident, Woori Bank explained, "We discovered it through an internal investigation after receiving a report."

The estimated amount of the loss has not yet been determined, and the collateral amount is approximately KRW 3.321 billion. Woori Bank announced that it plans to sue the outsider.

A Woori Financial Group official said, "The loan amount is KRW 2.5 billion, and the collateral amount is sufficient, so the actual loss is unlikely to be large."


This is the fourth financial accident at Woori Bank this year. In June, a KRW 10 billion embezzlement incident occurred at a branch in Gyeongnam Province, and the bank replaced the compliance officer and promised to prevent a recurrence.
In August, the bank failed to report to the financial authorities an unfair loan incident involving a relative of former Woori Financial Group Chairman Son Tae-seung, and then belatedly disclosed it as a financial accident worth KRW 16.5 billion.

In September, the bank announced that a similar financial accident worth KRW 5.559 billion occurred due to the submission of false documents by an outsider.

Hong, Ji-in (helena@fntimes.com)