Korean Firms Urged to Repay Investors in Collapsed German Fund
- Proposals for German property fund misled investors: panel
- $317 million to be returned to investors by firms, if accepted
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Korean consumers were misled by some of the nation’s biggest financial firms and should get back the money they lost when a German property fund collapsed, South Korea’s financial watchdog recommended Tuesday.
The six firms -- Shinhan Securities Co., NH Investment & Securities Co., Hana Bank, Woori Bank, Hyundai Motor Securities Co. and SK Securities Co. -- should repay the 430 billion won ($317 million) clients lost, a panel at Financial Supervisory Service said. While the panel’s decision is just a recommendation, brokerages have accepted proposals from the panel in the past, according to the watchdog.