Park Jae-hyuk is a seasoned journalist who has provided comprehensive coverage of South Korea's corporate dynamics, economic policies, industry challenges and the global positioning of Korean companies. Based on the articles he has written since joining The Korea Times in 2016, his investigative approach has helped readers understand corporate governance, economic trends and business strategies shaping South Korea’s economy.
Two more refiners under US antitrust probe
By Park Jae-hyuk
S-Oil and Hyundai Oilbank are being investigated by the U.S. government for antitrust activities as they allegedly colluded with other refiners to supply fuel to U.S. military bases in Korea at higher than market prices, according to industry sources, Thursday.
Antitrust prosecutors at the U.S. Department of Justice (DOJ) have reportedly been probing the two Korean refiners both here and in America.
The DOJ said early Thursday that it slapped $236 million in criminal and civil penalties on SK Energy, GS Caltex and Hanjin Transportation for their roles in the coordinated scheme to fix the price of fuel between 2005 and 2016.
S-Oil and Hyundai Oilbank were not included in the department's initial announcement, but rumors began spreading that the two were excluded from the list as they were preparing to appeal any adverse decision.
Makan Delrahim, head of the department's antitrust division, also implied prosecutors were investigating other companies involved in this case, saying there may be other co-conspirators, so investigators will dig deeper into it.
Hyundai Oilbank, however, denied a claim that it would file a lawsuit against the U.S. government.
“We have yet to be informed of the result of the department's investigation into us, unlike the three companies that admitted the charges,” a spokesman said.
S-Oil did not respond for comment.
SK Energy, GS Caltex and Hanjin Transportation said they had cooperated with the investigation.
SK Energy apologized and vowed to strengthen compliance to prevent a recurrence; as did Hanjin Transportation, saying a former employee was responsible for the bid-rigging.
“Although GS Caltex signed and entered into agreements with the U.S. Department of Justice to conclude the case at hand, it is difficult to comment on the specifics of the collusion other than what was announced by the U.S. Department of Justice, because the department's investigation into the case is still ongoing,” GS Caltex said.
It is speculated that one of the Korean firms may have reported the collusion to the U.S. authorities to be exempted from antitrust fines under a leniency program.