A South Korean court recently terminated rehabilitation proceedings for Homeplus after the chain failed to secure essential capital for its turnaround. Should Meritz Financial decline the proposal, the nation’s second-largest retailer, which supports 25,000 employees, faces potential bankruptcy as early as this week.

Political pressure is mounting as the Democratic party demands immediate intervention to stabilize operations. With a parliamentary hearing set for July 27, the firm remains under intense scrutiny to prevent a widespread collapse of the retail giant. Meritz Financial has yet to issue a statement regarding the upcoming board vote.