Conflict among major shareholders of Yeochun NCC continues… Hanwha refutes DL’s claim of “tax investigation”.

Statements Released Two Days in a Row…Tension Over Disagreement on Product Supply Prices,
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Yeochun NCC Union Expressing Gratitude to Hanwha Group
[Photo by Yonhap News],
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, ‘(Seoul=Yonhap News) Reporter Kim Bo-kyung = The conflict continues between the joint major shareholders, Hanwha Group and DL Group, over the support for Yeochun NCC, which is facing the risk of bankruptcy.’,
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, ‘On the 13th, Hanwha reiterated its rebuttal to the position of DL, which was reported in some media the previous day, through an explanation document titled “The Truth of Yeochun NCC Raw Material Supply Contract – Hanwha’s Position on Daelim’s Counterargument.”‘,
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, ‘DL, the previous day, responded to Hanwha’s point that “Earlier this year, Yeochun NCC was imposed with a collection of 100.6 billion KRW due to the underpriced supply of products like ethylene and C4R1 as per the National Tax Service’s audit, with 96.2 billion KRW (96%) of the collection resulting from transactions with DL.” They clarified that “this is the same situation as the 2007 tax audit, which concluded with the Supreme Court’s ruling as not problematic.”‘,
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, ‘In response, Hanwha countered that “The 2007 and 2025 tax audits are separate in terms of tax targets and results.”‘,
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, ‘Regarding the price differences in product supply between the two parties, Hanwha argued, “Transactions with related shareholders should be conducted based on objective and fair market prices according to market principles.”‘,
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, ‘Furthermore, Hanwha pointed out, “Hanwha suggests contracting based on market prices, whereas DL, to avoid significant loss, proposes contracting at a discount for items like C4R1 that DL acquires more of, while taking more expensive ethylene at above-market prices.”‘,
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, ‘Additionally, they mentioned, “If the National Tax Service has deemed it unfair trading leading to tax levies, the responsible private companies should change the transaction conditions in compliance, although they can appeal the tax levy. Until then, they should correct issues, amend transaction terms and avoid further tax risks to act responsibly,” they emphasized.’,
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, ‘Simultaneously, Hanwha declared its willingness to undergo objective verification from external experts on the fairness of the transaction prices, noting that DL is implying past transaction prices as if they were market prices.’,
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, ‘Hanwha stated, “Due to DL’s ambiguous stance prolonging public opinion battles, market confusion persists, increasing the anxiety among Yeochun NCC employees, partners, and clients.” They urged immediate decisive financial support to resolve the issue.’,
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, ‘Hanwha has approved an additional loan of 150 billion KRW to Yeochun NCC, while DL is preparing to provide financial support through a rights issue announced on the 11th, but insists on first evaluating Yeochun NCC’s management status and feasibility of self-help measures.’,
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, ‘vivid@yna.co.kr’,
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