Hana Financial chief wins 2nd term
Hana Financial Group Chairman Ham Young-joo has secured his second term as the chief of the major financial firm. He is expected to focus on improving the firm's shareholder return and expanding the group's non-banking portfolio.
Hana Financial announced Ham's reappointment following a shareholders' meeting held Tuesday at its headquarters in central Seoul. His renewed tenure will run until March 2028.
"Ham has led the qualitative growth of the group as a CEO who prioritizes shareholder value and has the vision to boost corporate value, such as strengthening profitability from the non-banking sector,' the firm's executive candidate recommendation committee said.
Like its peers, Hana Financial has been working to reduce reliance on its key lending affiliate, KEB Hana Bank.
'Considering the risk factors in the finance industry amid rising volatilities, (Hana Financial) desperately needs verified leadership that could lead the group,' the committee viewed.
Under Ham's leadership, Hana Financial plans to double its non-banking profit from last year's 16 percent to 30 percent by 2027. It also plans to boost the shareholder return rate to 50 percent in 2027, leaping from 38 percent in 2024.
Ham was the sole candidate running for the top position, though he was shortlisted for the position along with former Hana Bank CEO Lee Seung-lyul, Hana Securities CEO Kang Seong-muk and two non-Hana figures in December.
The finance group made it possible for Ham to extend his term by revising its internal rule to allow directors to serve past the age of 70. Ham is currently 69.
Ham joined Seoul Bank, a predecessor of Hana Bank, as a teller in 1980. He was appointed CEO of Hana Bank in 2015, following its merger with Korea Exchange Bank. In 2016, he took on double duty as vice chair of the bank's holding company, Hana Financial Group. He was named the chair of the holding entity in 2022.
Yet Ham's legal risk persists, threatening his leadership at the firm.
Ham is accused of meddling with the recruiting and hiring process at Hana Bank when he was the lender's chief in 2016. Though the lower court ruled Ham innocent, he was later found guilty at an appellate court in 2023. He was sentenced to six months in prison, a suspended sentence of two years and a fine of 3 million won ($2,040).
If the Supreme Court finds him guilty, Ham has to step down from his post as stipulated by the Act on Corporate Governance of Financial Companies.
Ham was also accused of internal control failure involving the misselling of derivatives-linked funds in 2019. He was cleared by the Supreme Court in 2024 after a four-year legal battle.
silverstar@heraldcorp.com
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