Financial Panel Sheds Weight, Changes Names

The Financial Supervisory Service reported Friday the consolidation or abolishment of six departments within the service and the creation of a department to supervise firms' accounting practices. It said its 34 departments will be cut to 29.

The Capital Market Supervision Office was scaled down and placed under the Security Supervision Department, and the Inquiry Office is now under the Examination Planning and Coordination Office. Three departments of Bank Supervision were reduced to two, and two departments of Insurance Examination were consolidated into one. The two departments of Securities Examination were combined, and three departments of Investigation were reduced to two.

The watchdog agency, in a move to strengthen supervision over accounting fraud, changed the name of its Investigation and Supervision Office to the Accounting Supervision Department. Though the Financial Supervisory Service reduced the number of departments, it increased the number of employees for investigations and examination.

by Rah Hyun-cheol