Fair Trade Commission Returns to Coupang for On-Site Probe Eight Days After Previous Walkout

South Korea’s Fair Trade Commission returned to Coupang’s headquarters eight days after leaving an earlier inspection empty-handed. This time, investigators examined suspected violations of the Fair Trade Act, a separate matter from the previous inquiry.

Officials visited the company’s headquarters in Seoul’s Gwangjin district on September 1. More investigators than usual reportedly took part. The commission is examining whether Coupang abused a dominant market position or otherwise breached competition law. Coupang reportedly cooperated without major objection because the case did not require advance written notice before the investigation began.

The earlier inspection began on August 19 and concerned alleged violations of the Large Retail Business Act. Investigators withdrew on August 24 after Coupang refused to participate. The company argued that the commission had failed to provide the seven days’ written notice generally required for an on-site administrative investigation.

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We intend to report Coupang’s refusal to cooperate with the investigation for prosecution.

Coupang filed a lawsuit on August 21 challenging the decision and disposition behind that inspection and sought a suspension of its enforcement. The company’s wholesale refusal to accept an investigation on the grounds that the law had been improperly applied was described as highly unusual.

The commission said the earlier inspection fell under exceptions to the advance-notice rule, including cases involving a risk of evidence destruction or a need for urgent action. Fair Trade Commission Chairman Joo Byung-kee told a parliamentary budget committee on August 26 that he intended to report Coupang’s refusal for prosecution and use every available measure.

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An unprecedented situation has occurred, and I believe we must use every available measure.