Pursuant to Paragraph 2, Article 27 of the Company Act, a government or corporate shareholder is prohibited from designating its representatives to act as a director and a supervisor of the same company at the same time. On the other hand, Paragraph 2, Article 128-1 of the Company Act also provides that for a company limited by shares with only one government or corporate shareholder, all of its directors and supervisors should be designated by such government or corporate shareholder.

According to a ruling issued by the Ministry of Economic Affairs on 16 July 2012, the directors and supervisors of a company limited by shares with only one government or corporate shareholder are designated by such government or corporate shareholder in accordance with Paragraph 2, Article 128-1 of the Company Act and thus are not subject to Paragraph 2, Article 27 of the Company Act.