Chapter 39: Proceed According to Plan

Kim Do-hoon, the Minister of Finance, hurried into the conference room, his face showing signs of anxiety and irritation.

He swept his eyes across the grim faces of the Monetary Committee members, then turned directly to Governor Kang Tae-jun and spoke bluntly.

“Governor Kang, have you not been briefed on the current state of the securities market? We’re on the verge of a complete settlement failure! And yet the Bank of Korea remains so lukewarm about it—how can this be acceptable?”

His voice carried a mix of urgency and open frustration.

But Governor Kang Tae-jun didn’t back down an inch. He replied in a calm yet firm tone.

“Minister, it’s not that we’re unaware of the severity of the situation. However, we’ve judged that temporary measures, equivalent to pouring water into a bottomless jar, cannot resolve this crisis. Without fundamental countermeasures, injecting vast sums again will only encourage moral hazard and bring about greater disaster.”

“Moral hazard? Is this really the time for such leisurely talk, Governor Kang?”

Minister Kim’s voice rose as the veins in his neck bulged. His face flushed red, ready to burst at any moment.

“The Korea Securities Exchange could close as early as tomorrow! And you’re lecturing me about moral hazard? Who will take responsibility when the market collapses?”

“Before we start pointing fingers, we must first grasp the true nature of this crisis.”

Governor Kang maintained his composure as he continued.

“Can we really call it a normal market when a stock with a face value of 50 jeon has surged beyond 50 hwan—over a hundredfold? This is a clear speculative frenzy. Such an abnormal bubble is destined to burst sooner or later. The Bank of Korea’s role is not to inflate that bubble further but to guide it to a soft landing and minimize the impact.”

“A soft landing? When the fire’s already burning under our feet, what nonsense is that?”

Unable to contain himself, Minister Kim slammed the table. Each word he spoke was punctuated by a loud bang, bang! echoing through the room.

“The government aimed to use this securities market revitalization as a springboard for economic growth. But if the Bank of Korea insists on being this uncooperative, we can only see it as outright defiance of national policy!”

“Minister, we are not opposing government policy. On the contrary, we are offering sound advice for the long-term stability of the national economy.”

Though the minister’s tone bordered on a threat, Governor Kang refused to bow his head. His eyes gleamed sharply.

“If we recklessly push through excessive financial support just to boost the market temporarily, we may avert the crisis for now—but eventually, it will lead to a far greater collapse of the financial system. That would be an irreversible blow to the national economy.”

“So the Bank of Korea intends to do nothing and just watch this crisis unfold?”

Minister Kim’s voice dripped with sarcasm.

“That’s not the case. We have already allocated a special ceiling of 5 billion hwan to commercial banks to supply liquidity. We are encouraging them to provide responsible financial support based on their own judgment. However, the additional special loan of 5 billion hwan that the Ministry of Finance demands is something we cannot accept in either nature or scale.”

“Cannot accept it?”

“Yes. That is effectively asking us to use the Bank’s issuance authority to shoulder the losses of a specific market.”

“Specific market losses? The securities market is the backbone of the national economy! Do you truly not understand that if it collapses, the entire financial system could be paralyzed?”

It was a tight, unyielding confrontation—neither side giving an inch.

Minister Kim’s desperation to prevent the Korea Securities Exchange from defaulting clashed head-on with Governor Kang’s duty to protect financial stability and principle.

“Governor Kang, the Bank of Korea must cooperate without complaint. This isn’t a simple request—it’s the firm will of the government for the sake of the national economy!”

His words sounded like an ultimatum.

The other committee members and Chairman Shin Man-cheol held their breath, watching the fierce exchange.

Governor Kang Tae-jun closed his eyes for a moment and exhaled deeply. A shadow of anguish and fatigue passed over his face.

“In that case... please make a promise here and now, Minister. Promise that the Ministry of Finance will take full responsibility for any problems that arise from this decision.”

“Are you refusing to act out of fear of responsibility? Governor Kang, how can a man tasked with the national economy be so passive…”

“I have no attachment to my position. If I’m told to step down now, I’ll gladly do so. I just don’t want to go down in history as a sinner.”

Minister Kim fell silent for a moment. He knew of Kang’s integrity, but he hadn’t expected him to stand this firm.

A heavy silence lingered before the minister finally spoke, reluctantly.

“Fine. The Ministry of Finance will take full responsibility for this securities market stabilization measure. Now, please cooperate.”

Governor Kang, seated at the head of the Monetary Committee, raised the gavel with a weary expression. He turned to Chairman Shin Man-cheol.

“Chairman Shin, do you have anything to add?”

“With 5 billion hwan, we might be able to extinguish the immediate fire. But whether this will serve as a fundamental solution…”

Chairman Shin’s expression was grave. He trailed off, but his concern was unmistakable.

Understanding his meaning, Governor Kang merely nodded before speaking.

“This has been a long and arduous discussion. Though our voices were raised, it was all out of a shared desire to resolve this matter well. As the Minister of Finance has pledged full responsibility, the motion to approve an additional 5 billion hwan limit for securities financing is hereby passed.”

The gavel struck with a heavy thud that echoed through the room.

Yet none of those present felt relieved; instead, an uneasy heaviness lingered in the air.

The operation office was filled with the shrill ringing of dozens of phones and urgent voices shouting orders—it was like a battlefield.

The small and mid-sized securities firms that had already been briefed began pouring out sell orders for Daegung stock through normal transactions.

‘Looks like our side has officially begun as well.’

I thought of the teams led by Cheon Sang-do and Kang Cheol-min.

From the start, we’d agreed not to dump massive sell orders at once. To avoid throwing the market into panic, we had decided to release the volume gradually but steadily—just enough for the market to absorb it naturally.

But unlike that, the atmosphere in this operations office was far more aggressive and overheated.

“Mr. Dan.”

Dan Tae-geon, who sat in the center of the office directing the situation like a commander, turned his head at my call.

An arrogant confidence showed on his face.

“You seem to be placing far more sell orders than planned. At this rate—”

“Huh! Isn’t it because more people are taking them than we expected? Haven’t you heard the saying about rowing while the tide is in? This is exactly the time to throw them in boldly — why are you being so cautious?”

Dan Tae-geon snorted and cut me off at my worried objection.

They said ignorance made one brave — that fit him perfectly. He had no experience in stock trading, yet he acted with reckless confidence and stupid behavior.

I clicked my tongue inwardly and spoke again.

“Mr. Dan, proceed with the plan. If a massive volume of sell orders floods out all at once like this, Park Jeong-ho’s side will surely notice something strange. If they catch on and move to defend, the whole operation could collapse.”

The core of this operation was not to crash the Daegung stock price in one fell swoop.

It was to lower the price slowly but continuously, amplifying market anxiety and securing as much sell volume as possible.

And at the moment the rights issue ultimately failed — that was when we had to deliver the decisive blow.

That was our plan, and it was how profits would be maximized.

“I already told you earlier. I’m handling this operation myself. Your role is to just watch from the side.”

“But if you continue like this, there will definitely be problems. The whole operation—”

“I’ll take all the responsibility, so I told you to just stand there and watch!”

I closed my mouth after one more retort. At any rate, that stubborn fool was not someone who would listen to me.

And to be honest, if Dan Tae-geon pushed the operation recklessly and reduced the profit that Jeong Tae-soo would gain, it wouldn’t be all that bad for me.

No, it might even be more satisfying.

“Do as you please. I have clearly voiced my opposition.”

“All right! Jeez, you keep chirping at me from the side — noisy!”

I no longer exchanged words with Dan Tae-geon and simply watched the unfolding situation.

Hangang Securities — the president’s office. Park Jeong-ho could not hide a satisfied smile as he looked over the rights issue subscription results he had just been briefed on.

“Heh heh, thankfully, aside from our people, most joined the rights issue. Money really changes people, huh.”

“When do you plan to disclose these results, President?”

The vice president beside him asked cautiously.

“The day before we start the public offering. That way we can pull in as many retail investors as possible until the last moment.”

“It will get pretty loud. Market expectations will shoot through the roof.”

“People’s greed never ends. Even now, trading volume in Daegung stock keeps increasing. This rights issue will succeed. No — it must succeed. If we want to get out of this game safely.”

“Luckily, there was an emergency cash injection recently: a special support beyond the 5 billion won limit to the exchange was approved.”

As if he had expected it, Park Jeong-ho lifted one corner of his mouth in a smile.

“Since the KCIA moved directly, what could the Bank of Korea do? They had no choice but to provide reluctant support.”

“But they’ve already been supported twice. Rumor has it it won’t last long.”

“Don’t worry. The Bank of Korea will have to keep supporting us. I hear the Ministry of Finance is moving to amend the Bank of Korea Act to bring the Bank under direct control. If that amendment passes, the Ministry will effectively become the command center of the financial market, and the Bank won’t be able to utter a peep.”

Although the amendment to the Bank of Korea Act was still being quietly pushed beneath the surface, Park Jeong-ho already had all the information.

“Oh, and there’s a rumor that at the recent Monetary Policy Committee meeting, Finance Minister Kim Do-hoon and Governor Kang Tae-jun of the Bank of Korea had a tremendous shouting match. Apparently their voices could be heard outside the meeting room.”

“It’s no rumor. I heard Governor Kang set himself and rushed at Minister Kim.”

“What on earth was he thinking? To oppose government policy so openly is practically staking one’s life—”

“How should I know. The man is principled but can’t read the current tides. He’s a frustrating fellow, tsk.”

When Park Jeong-ho’s mood soured, the vice president carefully changed the subject.

“They say Chairman Shin Man-cheol couldn’t say a single word at that meeting.”

“Heh heh, that fellow was only put there as someone who could later take the blame. What could he possibly have to say?”

“Still, he’s been running around trying to save the Korea Securities Exchange. Visiting the Ministry of Finance to plead, meeting the Bank governor to beg for help.”

At that, the corner of Park Jeong-ho’s mouth curled with glee.

Imagining the once-proud Shin Man-cheol bowing and begging other people somehow made him feel refreshingly pleased.

“That proud man going around doing that — it makes my chest feel light for no reason.”

“Ha ha, they say nothing in this world lasts forever.”

Just then, the office door burst open and a subordinate ran in with a panicked expression.

“P-President!”

“What is it! Who barged in without saying anything!”

The vice president frowned at the subordinate’s rude entrance without knocking.

Park Jeong-ho raised a hand to stop the vice president and asked, his voice tinged with annoyance, “What’s all the commotion?”

“There are massive, simultaneous sell orders flooding in on Daegung stock right now!”

“What? That’s just the kind of thing short-term traders do to make a quick profit, right? Why the fuss over that?”

There were always people looking to pick up crumbs wherever they could. Park Jeong-ho waved his hand as if it were nothing more than that petty trick.

“I-It’s over ten times the usual volume. Orders are still pouring in.”

But sell orders at more than ten times the normal volume was not something to hear and ignore.

The composure quickly vanished from Park Jeong-ho’s face.

“What?! What do you mean! Where are those orders coming from? Which brokerage firms are placing them?”

It was not easy for individuals to place regular trading orders. Unlike the old deferred trades, after the Securities Trading Act went into effect, regular trading orders had to be placed through a brokerage.

In other words, sell orders of this magnitude meant a specific force was moving in an organized way.

“It’s not just one or two places. We’ve identified more than ten already!”

“What? More than ten?!”

Park Jeong-ho leapt up from his seat. Anger and astonishment tightened his features as he ground his teeth.

“Who the hell dares to throw dust in this game. Find out who they are immediately! Get them before me today!”

“Yes, President! I’ll use every channel personally to find out.”

At Park Jeong-ho’s harsh command, the vice president, realizing the seriousness of the matter, hurriedly rose.

The vice president and the subordinate bowed with grim faces and then rushed out of the office as if fleeing.

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