Lawsuit Judgment Released... Suspicion of Fraudulent Conveyance
Land Preemptively Seized, Then Gifted to Daughter
Creditor: "Not a Single Won Voluntarily Repaid"
Lee Young-sook, the representative of Nakyeong Mushroom Farm who appeared in Netflix's "Black and White Chef: Culinary Class War," has been embroiled in a debt controversy. Netflix Instagram
Lee Young-sook, the representative of Nakyeong Mushroom Farm who appeared on Netflix's "Black and White Chef: Culinary Class War" (hereinafter "Black and White Chef"), has been embroiled in a debt controversy, with allegations that she engaged in fraudulent conveyance (acts that reduce the debtor's total assets) by not repaying creditors.
On the 7th, YTN obtained and reported on the judgment documents of a loan claim lawsuit filed by creditor A against Lee. According to the documents, A's father lent Lee 100 million won in April 2010 but passed away in July 2011 without having been repaid. Afterward, A demanded repayment, but Lee refused, claiming she had already repaid with checks and cash.
Ultimately, A filed a total of 17 lawsuits against Lee, including loan claims and cancellation of fraudulent conveyance. When a provisional seizure was filed in May 2012 on the land Lee purchased with the money borrowed from A's father, Lee gifted part of the land to her daughter. A then filed a lawsuit to cancel the fraudulent conveyance and won, proceeding with a forced auction on the land. He received 18,775,446 won from the auction distribution. The successful bidder was Lee's daughter. On March 26, 2013, A also initiated a forced auction on the building on this land. In response, just a month later in April, Lee registered ownership preservation while her daughter established a 100 million won jeonse right (a type of lease deposit). A filed another lawsuit to cancel the fraudulent conveyance against Lee's daughter and won again, receiving 23,272,963 won. The building was ultimately auctioned to Lee's daughter, just like the land.
A stated, "Despite winning the trials, Lee and her daughter did not comply with the court's rulings on 'defendant bearing litigation costs' and 'ownership cancellation,' making even the auctions difficult." He added, "Additionally, I demanded distribution from an auction conducted by a credit union and received 283,981 won. The total amount received from three auctions was 42,332,390 won." However, he lamented, "There was not a single voluntary repayment, and the money I struggled to recover through lawsuits was used again to pay off Lee's debts." He also revealed, "She did not fulfill another debt for which her father was a joint guarantor. Instead, about 48 million won, including the 42 million won previously received plus an additional 6 million won, was used to repay Lee's debts." Furthermore, A said, "In this situation, I was in a state of giving up until I saw Lee on a broadcast. Only then did I learn that she won 100 million won in prize money by winning 'Hansik Battle 2' in 2014." He added, "I also saw her recently on 'Black and White Chef.' Seeing her thriving not only on TV but also in business made me feel a sense of self-reproach."
Earlier, on the 1st, the Nonsan Branch of Daejeon District Court accepted A's application for seizure and collection orders against the production company of "Black and White Chef" regarding Lee's appearance fees. Regarding the controversy, Lee's side stated, "Communication with the creditor has not been smooth, so we were not fully aware of the situation," and added, "We are currently confirming the matter through our lawyer. If there is any remaining debt, we will fulfill our repayment responsibilities."
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