On April 8, South Korean media reported that Cha Ga Won, CEO of One Hundred, was being sued for fraud and that the company she led was also under police investigation.
According to News1, the Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit raided an entertainment company’s headquarters in Gangnam District on April 3, seizing numerous documents. This company was directly managed by Cha Ga Won.
She is accused of leveraging the fame of artists from her company to solicit commercial collaborations, collecting deposits without fulfilling her obligations. The total amount involved is estimated to be around 30 billion wons. The police have received three complaints and are continuing their investigation.
Previously, the financial situation of the company led by Cha Ga Won had drawn attention when many artists, such as Baekhyun, Chen, Xiumin, Taemin, and The Boyz, alleged they were not fully paid.
The total amount of outstanding payments is estimated to be around 5 billion wons, with The Boyz alone owed nearly 1 billion wons. Other artists also have significant unpaid earnings, raising concerns about the financial health of the company.
These difficulties are reportedly linked to financial imbalances within Cha Ga Won’s subsidiaries. A 2024 report from Big Planet Made revealed a severely deficient equity situation, with total debt exceeding assets by over 18 billion wons. Other entities, despite a more stable operation, have also faced cash flow problems.
Cha Ga Won is a well-known businesswoman in the entertainment industry, having founded and managed numerous artist management and digital content production companies. However, recent controversies have significantly tarnished her image.
(Source: VietnamNet)
