President Lee Jae-myung on Wednesday pledged to take decisive action against unfair trading practices in South Korea’s capital markets, warning that those who manipulate stock prices will face severe consequences under a “one-strike-out” policy. During a visit to the Korea Exchange’s Market Oversight Committee, Lee ordered financial authorities to improve detection systems for new types of illicit trading and expand personnel for faster investigations. He emphasized that the capital market must be built on fairness and transparency, stating that those who profit illegally under his administration will be made to pay back multiples of their gains and face harsh penalties.

Lee also indicated plans to revise tax policy to encourage dividend payouts and promote equities as an investment alternative to real estate. Lee criticized opaque corporate practices like physical spin-offs and insider mergers and acquisitions (M&As) that leave minority shareholders with diminished value, saying such tactics have eroded public trust in the market.