I dunno if I chalk up the stickers to legality issues, but Daewoo just pushing their brand where they could. All console that went into Korea were through 1) joint ventures, 2) gray market (direct import of Japanese or American models by some random Joe), or 3) pirate models, until Sony went in to Korea themselves with the Playstation 2 in 2002 -- which is prior to the regulation I'm about to mention below, so again, I doubt the stickers were about covering anything up.
The specific legal issue is that any video games with in-game Japanese characters couldn't be *officially* distributed in Korea until 2003. Hence, I'm not surprised that the Daewoo-branded HuCards that were mentioned (Dragon Spirit, Dead Moon, R-Type) -- even though they were straight Japanese HuCards -- happen to be games that do not display Japanese characters in-game.
Now, that didn't stop the direct imported Japanese-market games (RPGs, adventure games, etc) being sold in Korea, but people generally had to pay through the nose for those -- not unlike trying to buy Japanese games through importers in the 80s/90s in North America.
