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AIIB Gives Pink Slip to Vice Governor Hong Ki-taek
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AIIB Gives Pink Slip to Vice Governor Hong Ki-taek
  • By Michael Herh
  • February 7, 2017, 03:15
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South Korea lost its vice chairman position in AIIB despite shelling out US$ 300 million (4.43 trillion won in five-year installment).
South Korea lost its vice chairman position in AIIB despite shelling out US$ 300 million (4.43 trillion won in five-year installment).

 

It has been confirmed that Hong Ki-taek, a former governor of the Korea Development Bank, was officially dismissed as vice governor of the Asian Infrastructure Investment Bank (AIIB).

According to the Ministry of Strategy and Finance on February 6, the AIIB informed Hong of the contract termination by e-mail on December 26, last year. Hong has reportedly never submitted his resignation.

In June last year, Hong absconded for six months as controversy arose over the Korea Development Bank's support for DSME. The AIIB is reported to have terminated its contract with Hong when the period of his leave of absence ended but Hong did not contact the AIIB.

Hong was appointed as vice governor and chief risk officer (CRO) at the AIIB, which was founded last February. Following Hong's leave of absence, the AIIB promoted chief financial officer (CFO) Thierry de Longuemar of France to a vice-president while downgrading risk management which Hong was in charge of to the director-level.

As Korea lost its vice chairman position after shelling out US$ 300 million (4.43 trillion won in five-year installment), some people will take blame for recommending Hong as a vice governor of the AIIB..