Nonghyup Financial head resigns amid security issues

Shin Dong-kyu, chairman of NH Nonghyup Financial Group, abruptly offered to step down from his post yesterday, becoming the fourth close associate of President Lee Myung-bak to resign in the new Park Geun-hye administration.

According to sources yesterday, Shin tendered his resignation to the National Agricultural Cooperative Federation, saying that he has recently experienced difficulties in operating the federation’s financial group and that it would be right for a talented official to become chairman for the sake of the group’s development.

The move by Shin, former head of the Korea Federation of Banks, came less than one year after he was appointed in June during the former president’s term. Insiders note that there has been pressure on Shin to give up his post to take responsibility for frequent security problems that have occurred in recent years. This year alone, Nonghyup’s online banking services broke down in March and April due to a hacking attack and server problems.