Lee Jung-jae and Jung Woo-sung's Artist Company reports embezzlement and breach of trust occurred... "Legal measures to be taken"

*This content was translated by AI.

Artist Company, the agency of Lee Jung-jae and Jung Woo-sung, announced it has filed a public disclosure regarding allegations of embezzlement and breach of trust and will take legal action.

On the 17th, Artist Company disclosed that it confirmed allegations of breach of trust involving one unregistered executive.

According to the disclosure, Artist Company is currently verifying specific details and the extent of damages through audits and external legal consultations regarding the relevant facts and allegations. Based on the results, the company plans to proceed with necessary legal measures, including claims for damages and recovery procedures, in accordance with due process. The company also stated it will actively cooperate with investigations by institutional investors and implement internal control improvements to prevent recurrence. Measures include separating duties related to fund disbursement, introducing dual approval procedures, revising fund accounting regulations and internal control systems, strengthening internal audit functions, and conducting regular fund inspections.

The aforementioned allegations and details are not yet finalized and may be subject to change based on future court rulings. No specific amount has been confirmed as of now for the embezzlement or breach of trust; however, once the amount is determined through court rulings or other legal proceedings, a public disclosure will be made. Additionally, if the embezzlement amount related to this case exceeds 3% of the company's net assets or reaches 1 billion won, it may trigger "substantive review for listing eligibility." The company informed investors that progress on the allegations of embezzlement and breach of trust will be disclosed as developments occur.

Meanwhile, Artist Company is a comprehensive entertainment firm where Lee Jung-jae and Jung Woo-sung serve as internal directors and participate in management. In addition to Lee Jung-jae and Jung Woo-sung, actors Yeom Jeong-a, Park Hae-jin, Im Ji-yeon, and Kim Hye-yoon are also affiliated with the company. Beyond management services, the firm is engaged in content production and distribution for films and dramas.

<© STARNEWS. All rights reserved. No reproduction or redistribution allowed.>

*This content was translated by AI.