Latest news with #KRW
Pink Villa
11 hours ago
- Entertainment
- Pink Villa
NewJeans' Hanni's previous comment about HYBE's money-mindedness reemerge amid Bang Si Hyuk's 400 billion KRW fraud case
HYBE chairman Bang Si Hyuk is currently under intense scrutiny due to the allegedly misinforming investors about HYBE's IPO plans and making profits of around 400 million KRW profits through unfair means. Currently, HYBE is under investigation and public opinion is largely against them. Amid the controversy, Hanni's previous remark regarding the company's greed and lack of artistic integrity gained renewed attention. Hanni's comment about HYBE and ADOR choosing profit over its artists NewJeans publicly declared their split from ADOR, in a press conference in November 2024. Speaking about the reason for such a big decision, Hanni accused ADOR of abandoning its artistic values for commercial gain. She articulated the girl group's collective thoughts regarding the entertainment label not having any integrity and genuineness, as they didn't care about the NewJeans members' well-being anymore. As per her, the label's actions were disrespectful towards the craft they represent and owe their dedication to. She called the HYBE-owned ADOR "a company that no longer has any sincerity in the art of music, a company that only has thoughts about making money, and doesn't have any conscience about the negative effect they create through their non-authentic means." Check out fan reactions to the resurfaced incident The majority of fans appeared to be of the same opinion as Hanni. NewJeans' devoted supporters, who stood firmly by the group during the intense public scrutiny surrounding the ADOR conflict, also rallied behind Hanni's resurfaced comment. They highlighted how Hanni was previously criticized and labeled "ungrateful" for speaking out against her agency, but in light of the recent Bang Si Hyuk stock fraud allegations, her words seemed to have been vindicated. Currently, Bang Si Hyuk case is being investigated for potential violations of the Capital Markets Act and unfair trading practices related to HYBE's 2020 IPO. If found guilty, he could face severe penalties, including life imprisonment or a minimum of five years in prison, under Article 443 of the Capital Markets Act. In the light of the issue, comments like "time cleared NJZ (NewJeans' new moniker)" and "Bang PD has done everything possible to kill its (HYBE's) values" flooded social media. Some even bashed the agency's supporters, calling them "clowns", while others expressed their eager anticipation of the quintet to put an end to their hiatus and return back to the K-pop scene.
Pink Villa
15 hours ago
- Business
- Pink Villa
BTS' meager HYBE IPO shares stir new concern amid Bang Si Hyuk's 400 Billion KRW stock fraud probe
BTS and HYBE's chairman, Bang Si Hyuk, is under investigation for insider trading, which has sparked fresh outrage. BTS fans are once again questioning how little the group received during the company's massive IPO in 2020. While this has major legal and financial implications, it has also reignited an emotional debate. Fans are now revisiting how little BTS received in comparison. Before the IPO, Bang Si Hyuk granted each BTS member around 68,000 HYBE shares. That's 478,695 shares in total for all 7 members. At the time, the shares were worth about 64.6 billion KRW (roughly USD 46 million). Each member received an estimated 9.2 billion KRW (approx. USD 6.7 million). In 2021, three members, Jin, J-Hope, and RM, sold part of their holdings. They earned between 1.8 billion and 4.8 billion KRW each. As of September 2023, BTS members became private shareholders. It's unknown whether they still hold their original shares. Based on last year's stock prices, those shares could now be worth about 15 billion KRW per member. That's roughly USD 11 million each. Still, it doesn't compare to the hundreds of billions earned by Bang and others close to him. Several individuals tied to the equity fund also reportedly profited. Some took home 100 billion to 200 billion KRW. This sharp gap in profit has angered many. Why are fans angry over Bang Si Hyuk? BTS is widely seen as the reason for HYBE's global success. Fans say it's unfair that the group received only a fraction of the financial reward. Many are now challenging Bang Si Hyuk's carefully maintained image as the 'father of BTS.' They're questioning how insiders walked away with hundreds of millions, while BTS got what some call 'breadcrumbs.' HYBE Chairman Bang Si Hyuk's Share Scandal On May 28, South Korea's Financial Supervisory Service (FSS) confirmed it is looking into Bang Si Hyuk for possible financial misconduct. According to Newsen, Bang Si Hyuk told early HYBE shareholders in 2019 that the company had no plans to go public. Based on that information, many sold their shares. But just months later, HYBE moved forward with its public listing. The shares those investors gave up ended up in the hands of a private equity fund. That fund was closely tied to Bang himself. He had a contract ensuring he would receive 30% of the fund's profit from the IPO. The result? Bang Si Hyuk reportedly earned around 400 billion KRW—roughly USD 300 million—after HYBE went public in October 2020. The Financial Supervisory Service (FSS) believes this may constitute illegal insider trading. The case is currently under review and may be handed to prosecutors for formal investigation. Financial experts note that executives often set up favorable terms before an IPO. But when misinformation is involved, ethical and legal boundaries are crossed. As the investigation unfolds, the spotlight is not just on Bang Si Hyuk. It's also on the wider system—one where massive profits often stay at the top, even when they're built on the backs of global stars like BTS. What is an IPO share? When a company wants to sell part of itself to the public for the first time, it is called an Initial Public Offering, or IPO. During an IPO, the company sells shares, which are small pieces of ownership in the company. People who buy these shares own a part of the company. This helps the company get money to grow and lets regular people invest in it as well. For example, HYBE, the company behind BTS, sold shares to the public in 2020 during its IPO. That's when people could buy a part of HYBE for the first time.
News18
15 hours ago
- Entertainment
- News18
NewJeans To Pay Hefty Fine For Taking Up Activities Without ADOR's Permission
Last Updated: The court gave the ruling to keep the contract between the agency and NJZ as it is, and to prevent the group from signing separate advertisement contracts. South Korean girl group NJZ (formerly NewJeans) has locked horns with ADOR since November last year over its contract with the agency. In a new update regarding the ongoing legal battle between both parties, a South Korean court has ruled that the quintet, comprising Minji, Hanni, Danielle, Haerin, and Hyein, cannot take part in any independent activities without the permission of ADOR or court orders. On Friday, May 30, Koreaboo reported that the 52nd Civil Affairs Department of the Seoul Central District Court partially approved ADOR's request for an injunction. This was done to keep the contract between the agency and NJZ as it is, and to prevent the group from signing separate advertisement contracts. As per the ruling, the quintet would require ADOR's permission until the court decides whether the contract between them stands valid or not. This decision also means that each of the five members of NJZ is not allowed to take up any projects independently or through any third parties, including music or advertisements, until a final ruling is made about their contract dispute with ADOR. If any of the members break this rule, they could be fined a huge amount. They would need to pay 1 billion KRW (approx. $730,000 or Rs 6.24 crore) to ADOR per violation. NJZ would also be required to pay the legal fees per application if they ever violate the judgment. 'The debtor, NJZ, must not engage in entertainment activities independently or through a third party without ADOR's prior approval or consent until the first trial verdict on the contract's validity is announced," said the court. The new approval comes over two months after the Seoul Central District Court, on March 21, accepted the injunction made by ADOR, giving them the liberty to prevent the quintet from carrying out independent activities. The judgment on the injunction was also expanded to prohibit the five members from engaging in any entertainment activities, such as writing, composing, and singing independently. Moreover, when the quintet challenged the judgment, the court rejected their objection in April. Besides the injunctions, the legal battle between NJZ and ADOR continues. Last year, when the girl group announced its sudden departure from the agency, ADOR initiated legal proceedings to confirm the validity of its contract. The next court hearing, where both sides will present their arguments, is set to take place on June 5. First Published:
Pink Villa
17 hours ago
- Entertainment
- Pink Villa
Min Hee Jin vs LE SSERAFIM's agency: June hearing gets scheduled for KakaoTalk messages' validity as evidence amid NewJeans row
Source Music filed a 500 million KRW damages lawsuit against former ADOR CEO Min Hee Jin. Its second hearing took place on May 30, Friday, during when the agency was set to present some important 'evidence' of the case, that involved text messages. However, Min Hee Jin's side alleged the messages to be illegally obtained. Hence, the court ordered a separate hearing to check its legal validity, as reported by K-media outlet Sports Today. Min Hee Jin's stance in the Source Music case LE SSERAFIM 's label, Source Music, was prepared to present a 20-minute showcase of documents supporting their claims. However, Min Hee Jin 's legal representative raised an objection, arguing that the KakaoTalk messages included in the presentation materials were obtained without proper authorization. Thus, as per the defendant, the texts should not be considered as evidence. ADOR refuted it by claiming that the messages were legally obtained and used in previous trials. Elaborating their concern, Min Hee Jin's team stated, 'What worries us most is that the presentation may contain message excerpts related to the disputed incident.' Additionally, her legal counsel also submitted a formal request for the trial to be held in a closed session, away from public scrutiny. Court decision on Min Hee Jin's request The 12th Civil Division of the Seoul Western District Court acknowledged the former ADOR CEO's concerns regarding the legal admissibility of the KakaoTalk messages, however they denied the second request of a closed session. The judge's ruling mentioned, 'We will proceed with a public hearing, but will restrict any discussion or display of the specific KakaoTalk excerpts the defendant contests until further review." Upon hearing both parties' arguments, the court decided to hold a separate hearing on June 27 to assess the legitimacy of the KakaoTalk evidence. About Min Hee Jin vs Source Music case Min Hee Jin claimed in a press conference that HYBE initially planned to debut NewJeans as their first girl group but instead chose to launch LE SSERAFIM first. She also alleged that HYBE later limited NewJeans' promotional activities and favoured LE SSERAFIM. The dispute further involved Min Hee Jin's disagreements over the casting and training process for NewJeans with HYBE
Pink Villa
18 hours ago
- Entertainment
- Pink Villa
NewJeans vs ADOR: Former clarifies 1 billion KRW penalty for independent activities would be 'void' if they won injunction case
NewJeans have been embroiled in a legal dispute with their label for quite some time now. On May 30, another court hearing for ADOR's injunction to halt the quintet's independent entertainment activities, took place. The ruling went against NewJeans as they were asked to pay a subsequent penalty amount on each violation of the court's verdict. After the news spread online, the girl group clarified the nature of the fine, as per K-media outlet Daily Sports. NewJeans slapped with 1 billion KRW penalty The Seoul Central District Court's 52nd Civil Division stayed with their previous verdict that NewJeans can't engage in independent entertainment activities or work with third-party agencies without ADOR's approval. If they violate this ruling, each member will face a 1 billion KRW (approximately 730,000 USD) fine per instance, potentially totaling 5 billion KRW (around 3.6 million USD) if all members participate in a single unapproved activity. This restriction, however, will remain in place until the court decides on the validity of their exclusive contract with ADOR. NewJeans' comment on 1 billion KRW penalty According to NewJeans' legal representative, the court's decision to restrict the girl group's activities is "temporary" and will only be in effect until a final decision on the injunction case is made. If NewJeans wins the appeal, the restrictions will be lifted, and the enforcement order will be canceled, essentially nullifying the current ruling. "If the NewJeans members win the appeal, both the injunction and the enforcement order will be void," NewJeans' side said. NewJeans' instances of violations prior to the latest ruling The Seoul court noted that NewJeans had already breached the injunction by reportedly preparing for overseas concerts and releasing new music under their new and unauthorised moniker, NJZ. This was mentioned as an example of non-compliance of the latest ruling, and similar instances in future will influence the court's decision to impose the 1 billion KRW penalty. Future of NewJeans' appeal against injunction As per the quintet's legal counsel, the May 30 verdict of "indirect enforcement" was based on a previous injunction from March 21. They explained that the new ruling was a "separate matter from the ongoing appeal against that injunction," which was "still under review" by the court. Hence, it can be said that the latest court decision will not predetermine the outcome of the injunction appeal.
