SEOUL (Reuters) - Samsung BioLogics Co Ltd (207940.KS) said on Wednesday it had filed an administrative lawsuit against South Korea’s financial regulator over the watchdog’s recent ruling on accounting violations.
The biotech drug arm of South Korea’s top conglomerate, Samsung Group, said the company was seeking a court injunction to nullify the regulator’s disciplinary action including recommendations to dismiss its chief executive and chief financial officer.
Earlier this month, South Korea’s top financial regulator said Samsung BioLogics had intentionally breached accounting rules ahead of its 2016 listing. The company denied any wrongdoing and said it would file an administrative lawsuit.
The regulator’s ruling was a blow to South Korea’s biggest conglomerate, which is banking on biopharmaceuticals for growth. It announced plans in August to invest $22 billion in the business and in other areas such as artificial intelligence and 5G mobile technology.
“Samsung BioLogics is trying to prove the legitimacy of its accounting management through the administrative lawsuit,” the company said in a statement.
Reporting by Ju-min Park; Editing by Leslie Adler