YG Entertainment founder Yang Hyun Suk has announced he is stepping down from his position at the company.
Following months of problems for the company due to the Burning Sun scandal and subsequent investigation into former BIGBANG member Seungri, an anonymous person turned in alleged evidence of further corruption and drug issues at YG Entertainment. Some of the issues that were made public by the media were leveled against iKON leader B.I and claimed he purchased LSD from someone back in 2016. They made further claims against YG by sharing that the company had intervened to cover the issue and even had the informant change their testimony to protect B.I.
Following this news, B.I apologized to the public and stated that although he had thought about taking the drugs mentioned, he didn’t end up taking them as he got too scared. However, he announced his decision to withdraw from his group, as well as the company.
As more reports broke in the media, including a report by the lawyer of the informant, things quickly escalated in Korea in regards to the YG founder who was being accused of corruption and more. Since the initial reports broke about Seungri several months ago, the stocks of the company have fallen significantly. Once B.I also admitted to some of the accusations against him, the stocks took another severe tumble.
As a result, Mr. Yang announced that he would be stepping down from the company and leaving it in more capable hands than his own. In his statement, he apologized to the fans of YG groups, as well as to the artists and the employees of the company as well. He stated that he has been tolerating the rumors and words leveled against him during this time, saying that “they have been told indiscriminately as though they are the truth.” However, he said that he now believes the situation is too difficult as it is causing damage to the company and their artists. As such, he revealed his decision to step down from his position.
He went on to say that he hopes no further damage will be done to the company and artists and that YG can become stable soon. In addition, he expressed his support of the people who will be taking his place in various positions around the company and said he is confident that they will do well.
He then closed by stating, “Lastly, I believe that the truth of the current media reports and malicious gossip will be revealed through investigations. Thank you.”¹
Shortly after his statement, Mr. Yang’s brother, who is the longtime director of the company, also announced his intention to step down. He revealed that he and his brother believe the truth will come out through the investigation but for the good of the company, he had decided to step down as well.
In addition, the police have revealed their intentions to investigate both the accusations against B.I and Yang Hyun Suk. Director Na Won Oh of the Gyeonggi Southern Provincial Police Agency revealed that a special task force has been formed. He also confirmed that they will be questioning the person who allegedly brought the drugs, confirmed to be the former YG trainee Han Seo Hee, to B.I.
The police went on to state that looking back at the former records, it was unclear if YG had intervened in the investigation where B.I was originally accused of taking drugs. However, they said that they would be investigating with an open mind about any possibilities of the buying or selling of drugs, the interference with the original investigation, the destruction of evidence, and more.
Media: YG Entertainment
Source: 1