Korea's CreDB system will be enhanced with additional datasets and increased server capacity to support deep learning and other types of AI-based data analysis.
Cabinet-approved legislative revisions will introduce an OTC derivatives reporting requirement, a licensing system for trade repositories, and penalties for circumventing margin rules.
The maximum annual interest rate will be limited to 6%, compared to 24% under the current law. Maximum penalties will also be raised.
Company executives will be removed and designated administrators will take over their duties. Optimus is accused of fabricating depository statements sent to brokers.
Fifteen banks and eight bank holding companies opted to adopt the Basel III credit risk framework early as it will boost their capital adequacy ratios.
Korean lenders may sell non-collateralised delinquent personal debt to KAMCO, which in turn will take over the debt and help debtors restructure.
The new framework will see a 20% capital gains tax imposed on retail investor profits over 20mn won, and 25% on profits over 300mn won.
The liquid asset holding requirements for repo market borrowers such as hedge funds will gradually increase in three stages from July until April 2021.
Accused of fabricating depository statements, Optimus Asset Management has suspended withdrawals from six feeder funds since last week, locking up 90bn won in investor money.
South Korea is introducing a cross-agency task force to monitor for illegal loan sharking activities and an alert system to detect predatory loan advertisements.