Seoul – Yonhap News Agency has urged the Korea Communications Commission (KCC) to block the Eulji Education Foundation's bid to take control of its TV affiliate, Yonhap News TV. Yonhap, South Korea's leading news wire agency, submitted a statement to the KCC, calling for a thorough review of Eulji's qualifications and highlighting potential negative impacts on the broadcasting industry.
According to Yonhap News Agency, currently holding a 29.89 percent share in Yonhap News TV, accused Eulji Education Foundation of exploiting loopholes to increase its share to 30.08 percent and attempting a hostile takeover. The news agency emphasized the risk such a precedent could pose to other cable and news channels, making them vulnerable to similar takeover attempts.
In addition to opposing the takeover, Yonhap has filed a complaint against Eulji Education Foundation Chairman Park Joon-young and Eulji Medical Center Chairwoman Hong Sung-hee for breach of trust. The couple is accused of orchestrating the donation of 600,000 shares from Eulji Medical Center to the education foundation, facilitating its bid to become the largest shareholder of Yonhap News TV.
Yonhap's statement also raised concerns about Park Joon-young past criminal record, questioning the appropriateness of his foundation operating a news channel. The news agency stressed the potential damage to Yonhap News TV's reputation and shareholder value due to the takeover attempt, calling it an unprecedented and harmful act in South Korea's media industry.