According to The Korea Herald, a daily newspaper in South Korea, South Korean entertainment company YG Entertainment has been embroiled in a scandal which allegedly involves founder of YG, Yang Hyun Suk, arranging sexual services for foreign investors during dinner parties.
The article quoted a recent episode on Straight, a programme by South Korean broadcasting company Munhwa Broadcasting Corporation (MBC), where The Korea Herald purported that in 2014, Yang organised dinner parties and hired prostitutes for two investors – Malaysian businessman Low Taek Jho and a man from Thailand. According to Straight, YG had close ties with 25 women and The Korea Herald stated that this included more than 10 prostitutes from an adult entertainment establishment. According to The Korea Herald, YG denied the allegations, calling them “groundless”.
Meanwhile, another South Korean broadcasting company, YTN, reported that the police is investigating Yang to confirm the facts. Also, fansite Allkpop quoted YG’s spokesperson saying that the allegations are “completely untrue”, adding that while Yang was present at the meeting with Low and the Thai business man, no sexual favours were offered “in any form”.
The news contradicts the pristine image that South Korean entertainment companies have been carefully crafted for their Kpop idols. Some bands and artistes under YG that have now become global sensations include Blackpink, Winner, Big Bang and Lee Hi.
Earlier this month, YG also found itself in another controversy when one of its Big Bang singers, Seungri, was arrested for allegedly procuring prostitutes for potential investors in his businesses. He was also alleged to have embezzled fund belonging to the nightclub Burning Sun, multiple media outlets reported.