SEOUL-- South Korea's financial watchdog has ordered Kyobo Life Insurance Co. to pay a fine of 350 million won (US$295,000) for letting its subsidiaries use its brand for free, the company said Friday.

The Financial Supervisory Service (FSS) also issued warnings to five officials, including a retired employee of the insurer, in connection with the matter, according to the company.

Kyobo Life Insurance, No. 3 life insurer in South Korea, was accused of providing undue support to the subsidiaries by letting them use the Kyobo brand without paying fees from 2016 to 2019. The unpaid fees are estimated to be billions of won.

"We decided to accept the decision and will receive fees for the use starting from this year," a company official told Yonhap News Agency.

Kyobo Life Insurance holds the trademark rights to its brand and had been advised to receive fees for the use of the rights by other subsidiaries, given its economic value.

Source: Yonhap News Agency