Major figures in the Korean entertainment world are under investigation. Actor Kang Dong Won, singer CL, and Trot star Song Ga In are facing scrutiny from Korean authorities.
They are suspected of operating or conducting business via entertainment agencies that lack proper registration under South Korea’s Popular Culture and Arts Industry Development Act.
Under Article 26 of the Act, any company or individual agency handling popular culture or arts planning must register officially if they manage entertainers.
The law aims to ensure transparency, fair contracts, and protection of artists’ rights.
Violations can lead to penalties, including up to two years in prison or fines up to 20 million KRW (around USD $14,000-15,000), depending on severity.
Who Is Under Investigation
- Kang Dong Won (actor)
His case has been assigned to the Yongsan Police Station. He founded AA Group in 2023 after leaving YG Entertainment. The accusation is that AA Group is registered only as a clothing distributor, not as a business in cultural content or arts planning. - CL (idol, formerly of 2NE1)
Also under investigation by the Yongsan Police Station. She is signed with the Very Cherry agency. The suspicion is that her management entity, like Kang Dong Won’s, has not completed proper registration. - Song Ga In (trot singer)
Seocho Police Station handles her case. Her agency, GainDal Entertainment, is also being questioned for not finalizing registration, though her management partner claims they believed existing registration covered their operations.
Triggering the Investigation
The probe started when a private citizen filed complaints. These alleged that Kang Dong Won, CL, Song Ga In, and Kim Wan Sun failed to meet the legal duty to register their agencies under the law.
Authorities then assigned each case to local police precincts depending on where the agencies are registered or operate.
Previous Actor/Actress Scandals Similar To This Issue
This is not the first time this issue has arisen. Other entertainers came under fire for similar registration lapses:
- Ock Joo Hyun
Her unregistered agency case brought attention to the issue. - Sung Si Kyung
He also issued an apology, explaining that his failure to register was not intended for income concealment or tax evasion. The Ministry of Culture, Sports and Tourism later allowed a grace period for compliance until December 31, 2025.
How These Issues Affect the Industry as a Whole
Registering agencies is not just a bureaucratic step. It underlies artist protection, contract fairness, clear tax obligations, and industry integrity. When high-profile artists are seen operating outside those structures, the public’s trust can weaken.
It also creates precedents. If these investigations lead to penalties or stricter enforcement, smaller agencies and individual stars will have to take compliance more seriously. Fans may expect more transparency. And the laws may be applied more evenly.
What the Celebrities Have Said So Far
Some of the implicated artists have begun to respond. Reports say Kang Dong Won’s AA Group has already started the necessary registration process following media scrutiny.
Song Ga In’s agency has said it believed existing registration covered their operations and pledged to correct any lacking formalities. Sung Si Kyung, in an earlier similar case, apologized publicly to clarify the issue.
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