"It is only right that my older brother and his wife be condemned"… Park Soo-hong loses first-instance ruling in 9.8 billion won damages lawsuit [Star Scene]

*This content was translated by AI.View Original

Broadcast personality Park Soo-hong lost a lawsuit seeking approximately 9.8 billion won in damages against his older brother and sister-in-law.

On the 13th, the 12th Civil Division (B) of the Seoul Western District Court held the sentencing hearing for the damages claim lawsuit filed by Park Soo-hong against his older brother, Mr. Park, and his sister-in-law, Ms. Lee.

On this day, the court dismissed the plaintiff's claims against defendant Mr. Park and rejected the suit against sister-in-law Ms. Lee. The court also ruled that Park Soo-hong's side would bear the litigation costs.

Park Soo-hong and his older brother had established Corporations A and B to manage Park Soo-hong's entertainment activities. However, when a dispute arose between the two sides, they agreed in July 2020 to divide the net assets of the corporations as of December 31, 2019, in a 7-to-3 ratio between Park Soo-hong and his older brother.

Park Soo-hong's side had argued that there was a personal agreement prior to this settlement for Park Soo-hong and his older brother to split the earnings from entertainment activities in a 7-to-3 ratio. However, the court stated, "No matter how we review the records, it is difficult to see that there was an agreement as claimed by the plaintiff between the plaintiff and Defendant 1 (Mr. Park)," adding, "Rather than a direct contractual relationship existing between the plaintiff and Defendant 1 before the July 2020 agreement was established, it appears only that the corporation managed the plaintiff's entertainment activities and that the earnings were to be received through the corporation."

Additionally, Park Soo-hong's side claimed damages liability on the grounds that his sister-in-law embezzled money from Park Soo-hong's personal account, but this was also not accepted. The court stated, "In the related criminal case, a verdict of acquittal was rendered and finalized regarding this matter. Furthermore, considering all circumstances, including the fact that the plaintiff's father appears to have kept an account in the plaintiff's name and withdrew some of the money, the high likelihood that part of the amount claimed as embezzlement by the plaintiff was used by the plaintiff, and the fact that some amounts were transferred between each other through the plaintiff's account, it is also difficult to see that the plaintiff properly proved this part."

However, the court pointed out, "Although the plaintiff generated substantial earnings while engaged in activities as an entertainer affiliated with the corporation, the defendants embezzled company funds or committed acts of breach of trust in the course of business, causing damage to the company. Such conduct by the defendants is rightly subject to condemnation." Nevertheless, the court added, "However, it is difficult to hold them liable."

Meanwhile, Mr. Park is suspected of embezzling company funds for personal use and diverting Park Soo-hong's personal funds while exclusively handling Park Soo-hong's management from 2011 to 2021. Sister-in-law Ms. Lee is also suspected of participating in some of the embezzlement, including the private use of corporate cards.

In this regard, Park Soo-hong filed a claim for 11.6 billion won in damages against his older brother and sister-in-law in 2021. Subsequently, Park Soo-hong recalculated the settlement damage amount over the past 20 years and submitted an application to change the subject matter of the claim and the grounds for the claim, raising the claimed amount to 19.8 billion won. However, the current litigation value has been changed again and set at approximately 9.8 billion won.

Separately from this, his older brother and sister-in-law, who were indicted on charges of embezzlement under the Act on the Aggravated Punishment of Specific Economic Crimes, had their guilty verdicts finalized by a final ruling from the Supreme Court in February last month. The Supreme Court sentenced Mr. Park to three years and six months in prison and Ms. Lee to one year in prison with a two-year suspended sentence.

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*This content was translated by AI.View Original