The Seoul Administrative Court on Friday sided with YTN employees by revoking a broadcasting regulator's approval for a change in the channel's largest shareholder. The ruling declared the approval for Eugene ENT's acquisition illegitimate due to an insufficient number of commission members. The decision was made with only two members instead of the required quorum.
In February last year, the then Korea Communications Commission, which has since been reorganized as the Korea Media and Communications Commission, approved Eugene ENT Co.'s application to become YTN's largest shareholder. This followed Eugene ENT's acquisition of a 30.95 percent stake from state-run companies KEPCO KDN and the Korea Racing Authority under the previous Yoon Suk Yeol administration's restructuring plan.
The Seoul Administrative Court ruled the regulator's decision illegitimate because it was made by only two members of the commission's five-member decision-making body, falling short of the quorum for voting. The court stated it was desirable for the commission to decide if three of the five members vote in favor. "If there are only two active members, it is structurally difficult to implement such functions, and it does not conform to the fundamental idea of a consensus-based administrative agency, which requires the presence of multiple members," the court said. Such a setup would essentially allow the majority to handle matters alone while depriving the minority of participation.
YTN's employee stock ownership association filed a lawsuit against the commission's approval. YTN's labor union welcomed the court decision, expressing hope that the new media regulator would cancel the shareholder change. Eugene Group said it would closely review the ruling and decide whether to appeal.
The case highlights ongoing debates over public broadcaster governance and regulatory transparency.