Kim Ho-jung's Agency Closing Down
"All Related Employees Resigned"
Singer Kim Ho-joong, who was arrested on charges of drunk hit-and-run, reportedly pushed ahead with his performances despite various controversies due to an advance payment of 12.5 billion won.
On the 27th, JTBC reported the results of an analysis of the financial statements of Kim Ho-joong's agency, Saenggak Entertainment. According to the report, Saenggak Entertainment's cash equivalents, which were about 9.4 billion won at the end of 2022, plummeted to around 1.6 billion won within a year. There was 3 billion won lent to someone and 6 billion won invested in one company. Last year, the advance payments, which appear to be revenue received in advance from performances and other activities, exceeded 12.5 billion won. Advance payments become debts if performances are canceled.
Regarding this, tax accountant Park Jae-young said, "Kim Ho-joong probably spent that much money in 2023 because he thought he would continue holding concerts and generate profits."
Singer Kim Ho-jung, who is accused of drunk hit-and-run, appeared at the Seoul Central District Court in Seocho-gu, Seoul on the 24th for a warrant hearing (pre-arrest suspect interrogation). Photo by Jo Yong-jun jun21@
Ultimately, due to the advance payments and other factors, it seems Kim Ho-joong continued to push ahead with performances even after being booked on hit-and-run charges. On the 18th and 19th, when he was under suspicion of driver substitution and drunk driving, he held concerts in Changwon. During the performance, he reportedly apologized, saying, "I'm sorry," and added, "I committed the sin, but you all just came to watch the concert."
Also, despite admitting to drunk driving on the 19th, Kim Ho-joong proceeded with the Seoul concert held on the 23rd without cancellation. He originally planned to hold a concert on the 24th as well, but his appearance was canceled due to a pretrial detention hearing held that day.
Kim Ho-joong's agency eventually announced on the 27th that it was effectively going out of business. The agency stated, "We sincerely apologize again for disappointing many people due to the Kim Ho-joong incident," and added, "Saenggak Entertainment has decided on the resignation of all employees related to this incident and a change in the CEO position." They continued, "We also extend our apologies to the artists under our agency regarding this incident," and said, "We plan to terminate exclusive contracts without any conditions upon consultation, prioritizing the opinions of the artists." Saenggak Entertainment represents actors Son Ho-jun and Kim Kwang-gyu, as well as former soccer player turned broadcaster Lee Dong-gook.
Meanwhile, Kim Ho-joong is accused of driving under the influence and fleeing the scene after colliding with an oncoming taxi on a road in Apgujeong-dong, Gangnam-gu, Seoul, around 11:40 p.m. on the 9th. He appeared at the police station at 4:30 p.m. the next day, 17 hours later, and during this process, it was revealed that Kim Ho-joong's manager falsely surrendered to the police, indicating that the agency systematically tried to cover up Kim Ho-joong's drunk hit-and-run charges.
The police applied charges against Kim Ho-joong including failure to take action after an accident under the Road Traffic Act, as well as dangerous driving causing injury and hit-and-run causing injury under the Act on the Aggravated Punishment of Specific Crimes, and aiding the escape of a criminal. Lee Kwang-deuk, CEO of Saenggak Entertainment, is charged with instructing Kim Ho-joong's manager to falsely surrender (aiding the escape of a criminal), and the head of the headquarters, Jeon, is charged with removing the memory card from Kim Ho-joong's vehicle's black box (evidence tampering, etc.).
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