Seoul:South Korea's antitrust chief has advocated for stricter financial penalties on companies that obstruct investigations, following a recent incident with e-commerce giant Coupang.

According to Yonhap News Agency, Joo Byung-ki, chair of the Fair Trade Commission (FTC), suggested imposing fines equivalent to 1 percent of a company's total revenue to enhance the enforcement powers of the watchdog. Joo emphasized that such penalties would strengthen investigative powers and improve law enforcement effectiveness.

Joo noted that while the FTC's current investigative authority is largely adequate, there is a necessity for tougher penalties against non-cooperative companies. Although some laws under the FTC allow for financial penalties and criminal sanctions, the Act on Fair Transactions in Large Retail Business limits penalties to administrative fines.

The issue arose after the FTC's investigation into Coupang was impeded in August. Despite a court's rejection of Coupang's request to suspend the probe, the company has decided to appeal. Joo has called for legal amendments to authorize heavier financial penalties and enforcement fines in similar scenarios.