FTC to up Coupang fine by $7.2 million: Report

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FTC to up Coupang fine by $7.2 million: Report

Published: 08 Jul. 2024, 17:42 Updated: 08 Jul. 2024, 19:43

PARK EUN-JEE
park.eunjee@joongang.co.kr

Coupang's office building in Songpa District, southern Seoul [NEWS1]

Korea's antitrust agency will up the record-high fine it has levied against Coupang in light of the New York-listed e-commerce giant's alleged recent manipulation of its search algorithm.

Coupang could face as much as 10 billion won ($7.2 million) in additional fees, under an upcoming resolution, on top of the standing 140 billion won fine.

A spokesperson for the Fair Trade Commission (FTC) confirmed the increase but declined to specify its size.

“What is certain is the finalized amount will be larger than previously announced since the initial announcement hasn’t factored in the activities between August of last year and June 5, the date of the deliberation,” the spokesperson said.

The resolution will be sent to Coupang within July.

The company has cried foul over the antitrust agency's imposed fine and plans to appeal the resolution in court once it is finalized.

The company claimed that it had been penalized for a common industrywide practice in a disclosure filed to the U.S. Securities and Exchange Commission on June 16.

“The KFTC announced in its decision, in the previously disclosed investigation, that Coupang’s search ordering — a practice in line with all e-retailers in Korea and globally — is deceptive and violates Korean law,” the firm claimed in its outline of events.

BY PARK EUN-JEE [park.eunjee@joongang.co.kr]