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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] Coupang’s headquarters in Songpa-gu, Seoul, has been likened to a “mini Sejong City” due to the unprecedented scale of government inspections following the customer data breach in late November. A special task force involving over 11 government agencies—including the Ministry of Science and ICT, Ministry of Employment and Labor, Fair Trade Commission, Personal Information Protection Commission, Financial Supervisory Service, National Tax Service, Customs Service, and police—has been conducting coordinated on-site investigations with hundreds of officials.
While simultaneous inspections by multiple agencies are not uncommon for alleged corporate violations, the breadth and intensity of this investigation are highly unusual. Industry analysts attribute the heightened scrutiny to public backlash, citing delays in founder Kim Beom-seok’s apology, evasive responses during parliamentary hearings, and Coupang’s unilateral release of interim findings without government consultation.
Internally, Coupang recognizes that the initial issue was the data breach, but the investigation’s scope has expanded to cover workplace safety, political lobbying allegations, and supplier fee disputes, reflecting shortcomings in the company’s early response. Some observers argue the multi-agency approach is disproportionate, noting that data security requires ongoing investment and system improvements regardless of company size. Discrepancies remain over the scale of the breach: Coupang reports roughly 3,000 affected customers, whereas the Personal Information Protection Commission estimates over 30 million.
The investigation’s duration has prompted pushback from Coupang’s labor union. On January 22, the union released a statement expressing concerns that the extensive government probe could threaten the jobs of frontline workers who have supported the company.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
