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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] South Korea’s antitrust regulator has launched an investigation into allegations that an alternative trading system (ATS) operator misappropriated a startup’s technology.
According to industry sources on March 25, the Korea Fair Trade Commission (KFTC) has initiated a formal probe into claims that NextTrade (NXT) unlawfully used technology belonging to startup LucentBlock. The case was initially filed with the KFTC’s Seoul office but has since been transferred to the agency’s headquarters for direct investigation.
LucentBlock previously alleged that NXT entered into a non-disclosure agreement (NDA), obtained various business materials, and subsequently entered the fractional investment (STO) business independently. NXT has denied the allegations, stating that the materials provided did not contain confidential information and were part of a routine review process during consortium discussions.
The KFTC is reportedly examining whether NXT’s actions constitute “unfair use of technology” under the Fair Trade Act. A KFTC official declined to comment on specific details of the case.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
