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Photo courtesy of Yonhap News |
[Alpha Biz= Kim Jisun] SEOUL, Dec. 10 — Coupang has replaced the head of its Korean unit just a week before a parliamentary hearing, as the e-commerce giant scrambles to contain fallout from the largest personal-data breach in its history. The decision is seen as a move by parent company Coupang Inc. to take direct control of the crisis and restore public trust.
Coupang announced on Tuesday that Korea CEO Park Dae-joon has resigned, taking responsibility for the massive data leak. “I am deeply sorry for disappointing the public,” Park said, adding that he would step down from all positions due to his responsibility for both the incident and the handling that followed.
Park’s resignation effectively marks his dismissal as public criticism intensified, fueled by issues surrounding governance, hiring practices, and the company’s public apology. During a National Assembly hearing on Dec. 2, Park drew further scrutiny after distancing Coupang Inc. from the incident and stating that he alone held full responsibility.
Harold Rogers, Chief Administrative Officer (CAO) of Coupang Inc., has been appointed interim CEO of the Korean unit. Rogers, known as a close confidant of Coupang founder and Chairman Bom Kim, is expected to lead the company’s crisis-management efforts from the parent-company level.
While the leadership change signals the U.S. headquarters’ commitment to resolving the issue, critics argue that appointing a foreign interim CEO—who has not worked in Korea—could be perceived as an attempt to deflect accountability, especially as Chairman Kim faces calls to appear before parliament.
Coupang said it will strengthen information-security measures and work to restore trust.
Separately, the Personal Information Protection Commission (PIPC) on Tuesday ordered Coupang to revise its terms of service, remove ambiguous liability-exemption clauses related to unauthorized third-party access, and simplify the member-withdrawal process. The commission found that Coupang’s 2023 clause shielding the company from damages caused by illegal server access could conflict with the intent of Korea’s Personal Information Protection Act.
The PIPC will also convey its concerns to the Fair Trade Commission, which oversees terms of service.
Meanwhile, the Korea Internet & Security Agency (KISA) warned users of increased phishing attempts exploiting public anxiety following the breach, urging heightened vigilance.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
