Acting Justice Minister Kim Seok-woo said the parliament-passed revisions to the Commercial Act, which acting President Han Duck-soo vetoed, are expected to hinder efforts to protect shareholders and negatively affect the national economy.

At a joint press briefing with the finance ministry and the Financial Services Commission(FSC) on Tuesday, Kim explained the acting president's veto was based on the need to find an alternative plan that would minimize potential side effects.

The revisions to the Commercial Act, proposed by the main opposition Democratic Party and passed by the opposition-dominated parliament on March 13, require boards of directors to prioritize the interests of shareholders alongside those of the company.

While agreeing with the bill's basic objective, the acting minister expressed concerns about its potential negative impact on the management environment and the competitiveness of both conglomerates and small- to medium-sized businesses.
 
Instead of amending the Commercial Act, the government suggested revising the Capital Markets Act to protect shareholders. 

First Vice Finance Minister Kim Beom-seok expected discussions on revisions to the Capital Markets Act to gain momentum as the business community has expressed commitment to active participation.