The ruling Democratic Party and government have agreed to strike a provision that defines breach of trust as a punishable offense.

DP floor leader Kim Byung-kee made the announcement at a policy coordination meeting between the government and the ruling party at the National Assembly on Tuesday.

The floor leader characterized the statute criminalizing breach of trust as an excessive economic penalty that stifles not only corporations but also self-employed workers and small businesses, undermining economic vitality. 

Kim added that the policy has turned normal business decisions into criminal acts, discouraging corporate activity and investment.

Kim described the move as part of a plan to streamline economic penalties and civil liability and move away from an overreliance on criminal punishment. 

The floor leader also pledged to push alternative legislation and other practical measures to ensure that serious crimes are not left unpunished.