CL of 2NE1 Sent to Prosecutors for Operating Agency Unregistered for 5 Years

CL of 2NE1 was referred to the prosecutors for allegedly operating her agency, Very Cherry, which she founded in 2020, in an unregistered state for over five years. The Yongsan Police Station in Seoul announced on the 22nd that it plans to transfer CL without detention on charges of violating the Popular Culture and Arts Industry Development Act. The Very Cherry corporation was also included in those referred to the prosecutors.

CL is accused of founding Very Cherry in 2020 but running it for more than five years without registering it with the Ministry of Culture, Sports and Tourism. The Popular Culture and Arts Industry Development Act requires entertainment agencies to register with the Ministry of Culture, Sports and Tourism. This regulation exists to oversee contract practices and protect the rights of celebrities. Violations of this law can result in up to two years in prison or a fine of no more than 20 million won.

In the same investigation, actor Gang Dong-won was also subject to scrutiny for similar charges but was cleared of wrongdoing. The police determined that Gang Dong-won was not actually involved in running the agency. Instead of referring Gang Dong-won personally, the police sent the corporation’s legal representative and the corporation itself to the prosecutors.

As cases of agencies operating without registration continue to be uncovered in the entertainment industry, awareness of compliance with laws within the sector has come under focus. Recently, until the end of 2024, the Ministry of Culture operated a “mandatory registration guidance period for popular culture and arts planning businesses” to encourage agencies to register voluntarily.