Samsung BioLogics said it filed an administrative suit on Nov. 14 to nullify the financial regulator’s ruling that the company intentionally breached accounting rules to inflate its value before going public in 2016.
The biosimilar maker said on Wednesday that it sought an injunction of the Seoul Administrative Court to suspend the disciplinary actions, ordered by the Financial Service Commission’s Securities and Futures Commission until the court delivers to a verdict.
The request for the injunction on FSC’s disciplinary actions includes the correction of the balance sheet, dismissal of CEO and CFO, and designation of an auditor, Samsung BioLogics said.
“We will prove our accounting legitimacy through the administrative suit. To minimize confusion of investors and clients and to prevent unrecoverable damages during the litigation, we sought the injunction together,” Samsung BioLogics said.
However, the company did not seek to press charges against the financial regulator with the prosecutors, because it was irrelevant to the administrative suit. Also, its court proceedings did not include the issue of the FSC’s review on delisting or suspension of stock trading, Samsung BioLogics said.
Earlier, the FSC concluded that Samsung BioLogics’ deliberate accounting fraud was worth 4.5 trillion won ($3.99 billion) and fined the company 8 billion won.
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