Following the National Assembly's two-day hearing on its massive data breach, South Korea's government pledged to pursue all legal measures against Coupang Inc., condemning the e-commerce firm's passive response and data handling lapses amid public outrage.
The hearings, spanning December 30-31 and involving six committees, scrutinized Coupang's November 29 breach affecting over 33.7 million users. On December 31, officials issued a joint statement blasting the company's 'lukewarm and passive attitude,' attempts to minimize damage, and evasion of responsibility, which have amplified distrust.
Science Minister Bae Kyung-hoon, leading the task force, rejected Coupang's claim—based on suspect testimony—that only 3,000 accounts were affected and deleted, labeling it 'reckless.' He warned deleted data could persist on clouds, vulnerable to attacks, and accused Coupang of illegally deleting access logs over five months despite preservation orders.
Fair Trade Commission Chairman Ju Biung-ghi said the joint probe is evaluating leaked data, damages, and remedies, hinting at penalties up to business suspension if warranted.
Coupang maintains the breach stemmed from a former employee's laptop (recovered in China) with limited, deleted data, but Seoul deems this a premature conclusion amid ongoing investigations. The firm faces backlash over its 1.69 trillion-won ($1.17 billion) compensation package—mostly vouchers tied to subscriptions—seen as promotional. Interim CEO Harold Rogers defended it without conditions, preserving future claims.
Founder Kim Bom-suk's hearing absence sparked obstruction accusations. The committee plans complaints against seven officials, including perjury against Rogers for alleged false claims on government guidance. Public anger mounts, with calls for harsher measures.
