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Photo = Yonhap news |
[Alpha Biz= Reporter Kim Sangjin] The Financial Services Commission (FSC) announced on the 27th that it imposed a fine of 3.4626 billion won on Kakao Mobility for violating accounting standards. Additionally, CEO Ryu Geung-seon and the former Chief Financial Officer (CFO) were fined a combined 692.4 million won.
The Securities and Futures Commission, under the FSC, had earlier determined that Kakao Mobility had committed gross negligence by inflating operating revenue and expenses. The commission approved fines and referred the case to the prosecution.
According to financial authorities, Kakao Mobility used a "gross method" of accounting in its financial statements for 2020–2022, recognizing the full amount of franchise fees (approximately 20%) collected from taxi operators as operating revenue and the partnership fees (approximately 17%) paid to taxis as operating expenses. This method, based on the contractual structure, was deemed a serious violation of accounting standards.
The FSC also fined TYM 1.0113 billion won for similar violations of accounting standards, with an additional 1.0138 billion won levied on its CEO and another executive.
Separately, three former executives of Luxel were fined 600 million won, and Indeok Accounting Firm, which violated auditing standards during its review, was fined 160 million won.
Alphabiz Reporter Kim SangJin(letyou@alphabiz.co.kr)
