State mediation panel advises SK Telecom pay $208 per complainant over data breach
Customers wait in line at an outlet of SK Telecom, Korea's leading mobile carrier, to get free replacements of universal subscriber identity module (USIM) chips on their smartphones following a network hacking incident involving the potential leak of subscriber information, Apr. 29. Yonhap
A state mediation panel said Tuesday it has advised SK Telecom, the country's top mobile carrier, to pay 300,000 won ($208) in damages to each complainant over a massive data leak in April.
The Personal Information Dispute Mediation Committee said the proposal was agreed upon during a plenary session Monday after a total of 3,998 people, including three cases of group disputes, filed for mediation of disputes involving SK Telecom.
In April, the company reported a large-scale cyberattack on its main servers, during which universal subscriber identity module (USIM) data of its 23 million subscribers was potentially compromised.
In response, it devised a 500 billion-won customer compensation program that included mobile rate cuts, additional data offers and discount coupons starting in August.
The committee said the damages amount was determined based on its recognition of the anxiety and inconvenience experienced by subscribers following the data breach.
The proposal was sent to the company, along with recommendations to establish and implement internal control plans and strengthen safety measures for personal data management systems. It was also sent to the complainants.
The two sides have 15 days to decide whether to accept the proposal. Should either side reject it, the case will be closed without a settlement.