1. In observing that the FTA will have a positive effect on Korea’s Hub ambitions by effectively forcing the implementation of the necessary changes in the Korean regulatory framework, Han implicitly has acknowledged that the Hub is effectively a dead letter as a domestic initiative.

It’s also depressingly reiterative of the usual pattern of the reformist element in Korea to let outside interests do the heavy lifting on reform initiatives, thus compounding the sense of societal resentment that makes each new round of reform even more difficult.

2. I wished I was there to launch a follow-up question or questions regarding the “rule of law” issue regarding the treatment of foreign funds. In particular, it is preposterous to assert that Korea is transparently applying the law in these cases when the first Korean response to the sales announcements was to unleash a barrage of tax investigations and charges about tax evasion that were specious on their face considering the provisions of Korea’s tax treaties. It was only when it was discovered that such an approach wouldn’t fly that the prosecution started to look into allegations that the original sales of interests to e.g., Lonestar, had been rigged, possibly with Lonestar’s own connivance. After having effectively been smeared by the prosecution in the press, Lonestar appears effectively to have been exonerated by the prosecutions failure to find any evidence and indict, but the case drags on - and impedes consummation of Lonestar’s exit sale - because the prosecution won’t actually close the investigation. Justice delayed is justice denied. In this instance, the prosecution’s attitude seems to be to punish Lonestar anyway to the extent that its delaying closing will garner Lonestar a lower price for the asset than if the deal were priced today, after another year of improving earnings at KEB. BTW, what’s going on with the negotiation between L and Kookmin over the extension/repricing of the closing? It was the lead business news the week before last but has disappeared.

If that’s transparency, I’ll bet Lonestar would prefer a smoke-clogged cloakroom.

Is this just pique on Han’s part about calling a spade a spade and the Korean’s consequently losing face (and his job as chief tout being made more difficult), or are we seeing his true colors?

However rule of law critical, everyone suprised by Korea’s xenophobic reaction.

LOL

http://www.ogc.doc.gov/ogcwebsi.nsf/pages/TK