How to Keep . . . Competitive (Bill Gates)

An article by Bill Gates on how the U.S. has remained competitive is a lesson for all nations. His simple advice to the U.S. should be followed by all nations. [Bill Gates]How to keep U.S. competitive For centuries people assumed that economic growth resulted from the interplay between capital and labor. Today we know that these elements are outweighed by a single critical factor: innovation. Innovation is the source of U.S. economic leadership and the foundation for our competitiveness in the global economy. Government investment in research, strong intellectual property laws and efficient capital markets are among the reasons that

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Violence in Korean Schools Rising

On Feb. 27, 2007 numerous Korean and English language newspapers reported that school violence has become such a problem that the Ministry of Education setup a program to enable students threatened by violence to receive an escort on the way to and from school. The program, to be implemented in April, will also include counseling to assist students in learning how to prevent violence. According to the Ministry, 15.9% of students have experienced violence in school and the percentage of students who have been threatened, robbed or bullied by peers increased from 1.1 percent to 4.3 percent, 3.5 percent to

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Legal system hinders class action suits

Korea Herald Feb. 26, 2007 Experts say the burden of proof limits room for shareholders to maneuver Class action suits have mostly been cumbersome, costly and highly risky for shareholders filing complaints in the United States, but their gains clearly deserved such a demanding process. American firms had paid a total of $26 billion to settle collective legal complaints from 1997 to 2005, and each case cost $35 million on average. The record was rewritten as Enron Corp. and WorldCom Inc., which collapsed due to huge accounting frauds, were forced to pay over $13 billion to shareholders in 2005 alone.

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Prosecutor with cancer ‘only doing her job’

Korea Herald Feb. 26, 2007 Jin Hye-won, a 32-year-old prosecutor, has been the focus of media attention after it was revealed that she worked around the clock despite having brain cancer. The prosecutor with the Seoul Northern District Prosecutors’ Office underwent an operation to remove the tumor on Jan. 24, just two days before an appellant court sentenced the defendant in the case to eight months in prison and two years of probation. The defendant had originally been acquitted last July due to a lack of evidence. “I’ve never seen a prosecutor like her who is so devoted and enthusiastic,”

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Fraud sentence stands against ex-Doosan boss

Joongang Daily February 23, 2007 The Supreme Court has upheld a lower court ruling that sentenced Park Yong-oh, a former Doosan Group chairman, to a three-year suspended jail term for embezzlement.Mr. Park, 69, was convicted by the Seoul Central District Court a year ago of embezzling 29.7 billion won ($31.5 million) from the business group between 1996 and 2005. Last July an appeals court upheld the three-year jail sentence, suspended for five years, and 8 billion won in fines. Kim Ji-hyeong, presiding justice of the top court, said the lower court ruling was “acceptable,” convicting Mr. Park of using the

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Government Investigating Credit Card Commissions

Donga Ilbo Feb. 23, 2007 There are reports of widespread discontent over the way credit card issuers charge merchants commission fees. South Korea’s financial regulatory body has begun to investigate the issue. “We commissioned the Korea Institute of Finance to find out what costs credit card issuers face. We are going to assess whether each card issuer charges fair commissions to merchants. Then we will propose a standard for card issuers to levy a commission,” said an official from the Financial Supervisory Service (FSS) on February 22. The Ministry of Finance and Economy will use the standard to persuade card

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Four oil companies fined for price rigging

Korea Herald Feb. 23, 2007 The Fair Trade Commission yesterday slapped fines of 52.6 billion won ($54.5 million) on four major oil refineries for illegal price-fixing. The antitrust watchdog said SK Corp., Hyundai Oilbank Corp., GS Caltex Corp. and S-Oil Corp. were found to have conspired to raise prices of petroleum products such as gasoline, diesel and kerosene in 2004. The FTC also decided to file a complaint against the four companies to the prosecution. “The oil cartel, between April 1 and June 10, is estimated to have caused customer damage amounting to 240 billion won, or 15 percent of

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153 indicted in gaming scandal

Korea Herald Feb. 23, 2007 ‘Sea Story’ scandal nabs 153 Prosecutors said today they have arrested 45 people and indicted 108 without detention in connection with an illegal arcade gaming scandal that erupted last year. The Seoul Central District Prosecutors’ Office today announced the results of its six-month probe into the “Sea Story” scandal, involving lawmakers, high-ranking government officials, gang members, arcade businesspeople and gift certificate issuers. A popular video slot game, “The Sea Story” was outlawed last year because arcades were found to be rigging the machines to raise betting stakes above the legal limit. Prosecutors then launched extraordinary

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Lobbying to Be Legalized

Korea Times Feb. 23, 2007 By Kim RahnStaff Reporter In an effort to root out bribery, the government is considering revising the law on lobbying. Lobbying is currently illegal in Korea because it is associated with bribes. According to the plan proposed in a report submitted by Justice Minister Kim Sung-ho to President Roh Moo-hyun, lobbyists will be asked to register and to report their activities to the government. “Legalizing lobbyists is a part of efforts to boost trust and transparency in the policymaking process, as lobbying has been done under-the-table so far and usually involved bribery. The law is

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Sailing into the winds of change

My Yacht Club was featured in the Joongang Daily. Sailing into the winds of change Joong ang Ilbo February 23, 2007 Harold Shim, right, aboard a 21-foot trimaran on the Han River in Seoul with members and guests of the 700 Yacht Club. In 1965, as an 11-year-old immigrant to the United States, Harold Shim found himself with his brother and sister living with an adoptive family on Wrangell Island in southeastern Alaska. His adoptive parents were teachers, who did a little fishing on the side, and Shim learned to fish and earn candy money by harvesting cheek meat from

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FTC expands price-fixing probe in education market

Korea Herald Feb. 22, 2007 The Fair Trade Commission is expanding an investigation into the education sector amidst speculation over possible cartels and abuses of market dominance to raise prices of textbooks, school uniforms and tuition fees. In addition to its examination of high-priced textbooks sold by the state-funded Educational Broadcasting System last year, the antitrust watchdog is probing a suspected cartel of school uniform suppliers. The FTC is currently discussing whether the alleged textbook overpricing is a case of misusing market dominance. “We cannot say whether EBS violated the Fair Trade Law yet because some of its textbooks are

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Former Aide Accuses Ex-Mayor of Bribery

Korea Times Feb. 22, 2007 By Kim Sue-young Staff Reporter Kim Yoo-chan A former secretary of Lee Myung-bak, a strong presidential hopeful of the main opposition Grand National Party (GNP) and a former Seoul mayor, Wednesday detailed a case of bribery. In a press conference, Kim Yoo-chan said Lee is not entitled to become president and that made him come forward to present evidence of illegal actions. “Lee Kwang-chol, a former secretary to Lee, gave me a total amount of 125 million won for perjury,” Kim said. “Lee (Myung-bak) concentrates on making himself a national hero, and people are cheated

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Sexual Violence on Children Rises 33%

Korea Times Feb. 22, 2007 By Bae Ji-sook Staff Reporter Child molestation is becoming a serious social problem with the number of cases of sexual violence on children under 13 increasing every year. In 2006, the number of victims under 13 was 980 or 6.4 percent of the total of 15,326 reported cases of sexual violence, according to the National Police Agency. This represents a significant rise from 738 or 5.5 percent of 13,446 cases in 2005 and 721 or 5.1 percent of 14,089 cases in 2004. However, the figure does not show the actual situation well according to some

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Bill Sought to Limit FDI in Key Sectors

Korea Times Feb. 22, 2007 By Kim Yon-seStaff ReporterA group of lawmakers and policymakers are moving to legislate a law aimed at placing restrictions on foreign investment in some key industries. The move is aimed at blocking takeover attempts in the weapons, energy and steel sectors and other high technology areas that have some comparative advantages.The Ministry of Commerce, Industry and Energy (MOCIE) is reviewing the bill in consideration of national security concerns. Last year, Rep. Lee Sang-kyeong of the governing Uri Party came up with the bill, representing a group of lawmakers from the ruling and opposition parties. Lee

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FTC plans a monopoly investigation of 3 portals

JoongAng Ilbo Feb. 21, 2007 As early as next month, the Fair Trade Commission will begin investigating whether three major Internet portals, Daum, Naver and Nate, are a monopoly.“We will form a task force team and begin a direct-authority investigation on the Internet portal companies,” said Lee Dong-gyu, secretary general of the Fair Trade Commission. The watchdog agency said it feels the influence of the top portals is growing rapidly in the market.The concern is that they are using their dominant position to overcharge content providers, such as a company that writes horoscopes.On a radio talk show yesterday on the

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Judge Urges Chief Justice to Resign

Donga Ilbo Feb. 21, 2007 A presiding judge called for an explanation from Supreme Court chief justice Lee Yong-hoon, questioning his morality. He blames the chief justice for distrust in legal community, most recently proven in crossbow attack on a senior high-court judge. Jung Young-jin, presiding judge at the Seoul Central District Court, posted a paper on the court’s local area network (LAN) titled, “Urge the Chief Justice to Explain His Course of Action with respect to the Crossbow Attack.” In the paper, he said, “His unscrupulous behavior including tax evasion while he was a lawyer led to the current

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Rules to Change for Entertainment Spending

Chosun Ilbo Feb. 21, 2007The existing government regulation that requires a receipt for corporate entertainment spending exceeding 50,000 won will be tightened. Entertainment spending which will require a receipt will be lowered to 30,000 won in 2008 and 10,000 won in 2009. In response, businesses are expressing their anger against the government’s measure, saying it will increase the tax burden and add more work for them. They also argued that the government’s excessive intervention may lead to contraction of business activities. The government which held a Cabinet meeting on Tuesday at the Central Government Complex passed the revised corporate tax

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Ten Petrochemical Companies Fined For Price Fixing

Chosun Ilbo Editorial Feb 21, 2007 Price Fixing Is a Serious Crime. The Fair Trade Commission has fined 10 petrochemical companies W105.1 billion (US$1=W939) for price rigging between 1994 and 2005. The firms including SK Corp., LG Chemicals and Samsung Petrochemicals were found to have held monthly executive meetings to set standard sales prices and “monitored” each other to make sure nobody undercut them. The FTC estimates the price-fixing cost consumers an estimated W1.56 trillion due to steady increases in prices of vinyl and plastic products. Price fixing is a serious offense that shakes the very foundations of a free

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Court rules against ‘Lolita’ defense in pedophilia case

Korea Herald Feb. 20, 2007 Court rules against ‘Lolita’ defense in pedophilia case The Supreme Court ruled yesterday that a mental illness involving sexual obsession with children cannot be an excuse for lessened punishment for sexual violence against children.The top court returned a molestation case to an appellant court for a retrial. The appellant court had reduced a life sentence imprisonment penalty to 15 years after recognizing the offender had so-called Lolita syndrome, or sexual attraction to prepubescent children. The 39-year-old defendant, identified as Lee, was accused of raping 12 elementary school girls and stealing their money and other articles

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First foreign listing likely delayed to June

Korea Herald Feb. 21, 2007 First foreign listing likely delayed to June The listing of the local stock exchange’s first foreign company will likely be in June at the earliest, the Korea Exchange said yesterday. Huafeng Textile International Group, which is already listed in Hong Kong, filed an application in December for a secondary floatation on Korea’s main bourse. Lee Young-tak, chairman and CEO of Korea Exchange, said in January that he expected the firm to be listed as early as March.“The application is still under review. Any decision will likely be made late next month,” said an official at

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