Prosecutors are being asked to investigate Shin and six other officials at Shinhan Bank for alleged breach of duty and embezzlement, Shinhan Bank said in an e-mailed statement today.
Directors of Shinhan Financial Group, South Korea’s largest financial company by market value, will hold a meeting to decide whether to fire Shin, according to the release. The statement didn’t give a timeframe for the board meeting. A phone call by Bloomberg News to Shin’s office was answered by his secretary, who said the executive was unavailable to comment.
Shares of Shinhan Financial dropped 3.1 percent at 1:36 p.m. in Seoul trading, the biggest decline since June 7.