The controversy over the introduction of single-stock leverage exchange-traded funds (ETFs) targeting Samjonix (Samsung Electronics and SK Hynix) is spreading across the political sphere. People Power Party leader Chang Dong-hyuk held a press conference at the National Assembly on the 5th and announced that the party would simultaneously pursue a parliamentary investigation and a special counsel probe into the matter. With even the ruling-aligned Cho Kuk Innovation Party joining the criticism, the intensity of the People Power Party's offensive against the government has risen significantly.

"Stock Manipulation to Benefit Specific Companies… Truth Must Be Uncovered Through Special Counsel"

Chang argued that day that a special counsel probe is necessary to determine whether the introduction of the leverage ETF effectively amounted to stock manipulation that funneled benefits to specific companies. He repeatedly emphasized, "If the Blue House forced through a policy that experts and relevant agencies opposed, we must suspect whether there was improper solicitation or collusion beyond a simple policy failure," adding, "Whether there were lobbying or other issues must definitely be uncovered through a special counsel investigation."

The People Power Party proposed the following as subjects for a parliamentary investigation: ▲ the fact that leverage ETFs were hastily introduced under the lead of Blue House Policy Office Director Kim Yong-beom; ▲ that it was part of a stock market stimulus measure ahead of the June 3 local elections; ▲ the background of pushing ahead quickly despite concerns within and outside financial authorities; and ▲ the controversy over the mobilization of public funds including the National Pension Service. Chang added that the background of the policy decision and where responsibility lies must be thoroughly investigated, stating, "The public's stock accounts suffered significant damage from the introduction of leverage ETFs, and the only ones who profited were foreigners and securities firms."

Mentions Children of Kim Yong-beom and Lee Eok-won Working at Mirae Asset… "Difficult to Believe Securities Firms Had No Influence"

Chang noted that the sons of Director Kim Yong-beom and Financial Services Commission Chairman Lee Eok-won work at Mirae Asset Global Investments, pointing out, "Given that children of key government department heads work at securities firms, it is difficult to believe that policy decisions did not affect the firms' operations."

On the same day, Cho Kuk, former leader of the Cho Kuk Innovation Party, also characterized the Samjonix leverage situation as a government responsibility and called for an inspection by the Blue House Senior Secretary for Civil Affairs into Director Kim Yong-beom, FSC Chairman Lee Eok-won, and Financial Supervisory Service Governor Lee Chan-jin.

Strong Criticism of Police Raid on Starbucks Over 'Tank Day'

Chang also strongly criticized the police raid on Starbucks headquarters that morning in connection with the "Tank Day" marketing controversy. He argued, "Conducting a raid on a company's marketing activities over a matter where a warrant application was previously dismissed is inappropriate," calling it "a politically motivated, disastrous investigation." He questioned whether the timing of the raid was intended to cover up unfavorable issues or driven by political motives, saying, "It reveals dark political intentions."

Democratic Party: "Not a Subject for Parliamentary Investigation"… Foreign Press Also Blames Lee Jae-myung Government

The Democratic Party stated that the Samjonix leverage situation is not a subject for a parliamentary investigation and that efforts should focus on developing remedial measures. However, with the People Power Party demanding both a parliamentary investigation and a special counsel probe, and criticism continuing even within the ruling camp, political pressure is mounting. Foreign media have also pointed to the Lee Jae-myung government as the cause, with critical public opinion rising both domestically and internationally.