The bereaved family of a wartime forced labor victim has withdrawn their request for a court-ordered liquidation of the accused Japanese company's assets in South Korea.

According to legal sources, the four family members of the late victim Yeo Un-taek submitted a letter of withdrawal on April 27 to the Supreme Court, which was reviewing the case.

The family's move is seen as an intention to accept the South Korean government's compensation plan announced in March.

Three other victims who also filed for a court order have not withdrawn their applications, meaning the asset disposal process against Nippon Steel will continue.

After losing a compensation lawsuit in Japan in 2003, Yeo and three other victims filed a similar suit in South Korea two years later, with the Supreme Court ultimately ordering the Japanese firm to pay compensation to the four plaintiffs and their families while three of them passed away before the landmark ruling in 2018.

In the face of noncompliance by Nippon Steel, the plaintiffs filed for court orders to seize and liquidate the company's shares in a joint venture in South Korea, with the requests accepted by a district court in Pohang.