On April 8, South Korean media reported that Cha Ga Won, CEO of One Hundred, was being sued for fraud and that her company was also under police investigation.
According to News1, the Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit raided the headquarters of an entertainment company in the Gangnam district on April 3, seizing numerous documents. This company was directly managed by Cha Ga Won.
She is accused of leveraging the reputation of artists from her company to secure business collaborations, collecting advances without fulfilling her commitments. The total amount involved is estimated to be around 30 billion wons (over 500 billion dongs). The police have received three complaints and continue their investigation.
Previously, the financial situation of the company led by Cha Ga Won drew attention when many artists such as Baekhyun, Chen, Xiumin, Taemin, and The Boyz allegedly were not fully paid.
The total outstanding amount is estimated at around 5 billion wons (over 90 billion VND), with nearly one billion wons (over 17 billion VND) owed to The Boyz alone. Other artists also have significant unpaid earnings, raising concerns about the financial health of the company.
The root cause of these difficulties is believed to be financial imbalances within Cha Ga Won’s subsidiaries. The 2024 report from Big Planet Made highlighted a severely negative equity situation, with total debt exceeding assets by over 18 billion wons (approximately 320 billion VND). Other entities, despite more stable operations, also faced cash flow problems.
Cha Ga Won is a well-known businesswoman in the entertainment sector, having founded and managed numerous artist management and digital content production companies. However, recent controversies have significantly tarnished her image.
[Context: The article discusses Cha Ga Won, CEO of One Hundred, facing allegations of fraud and mismanagement in her entertainment company in South Korea.]
[Fact Check: The source of the article is mentioned as https://vietnamnet.vn/ba-trum-giai-tri-vuong-cao-buoc-lua-dao-hon-500-ty-dong-cong-ty-bi-dot-kich-2504707.html]
