South Korea's FSS Expands JTBC Bond Investigation to Hanyang Securities on July 8

According to Yonhap Infomax, South Korea's Financial Supervisory Service (FSS) expanded its investigation into alleged improper sales of JTBC corporate bonds on July 8, adding Hanyang Securities as a new examination target. The move came six days after the FSS began inspecting the lead underwriter Shinhan Investment Securities and Kiwoom Securities, which sold asset-backed short-term bonds to individual investors.

Hanyang Securities participated as an underwriter in JTBC's bond issuances, including acquiring 9.3 billion won from oversold volumes during a 50 billion won offering in August 2025 and involvement in a 93 billion won issuance in February 2026. The FSS is reviewing whether Hanyang Securities conducted adequate due diligence on JTBC's deteriorating finances and communicated risks properly to investors. JTBC defaulted on 20.6 billion won in securitized loans on June 12.