Kim appeared as a witness at the Comprehensive National Assembly Inspection of the Culture, Sports, and Tourism Committee on the afternoon of October 24th, where he spoke about the controversies surrounding HYBE and Belift Lab.
Former CEO of ADOR, Min Hee-jin, claims that her conflict with HYBE began due to ILLIT plagiarizing NewJeans. She alleges that when she raised suspicions about ILLIT copying NewJeans, HYBE abruptly began auditing her under the pretext of seizing management control.
Belift Lab has repeatedly denied that ILLIT plagiarized NewJeans, and has filed both criminal and civil lawsuits against former CEO Min Hee-jin for obstruction of business and defamation. Kim reiterated that ILLIT did not plagiarize NewJeans, stating, “We have filed civil lawsuits and criminal charges against Min Hee-jin, and we are awaiting the court’s decision.” He emphasized that they intend to clarify the truth in court by presenting evidence and materials that prove the accusations are false, following proper procedures.
Kim also denied accusations that HYBE manipulated album sales figures through forced sales practices.
Min Hyung-bae, a member of the Democratic Party, questioned whether HYBE had engaged in forced sales by selling albums with return conditions or by using events such as fan signings and lucky polaroids to dispose of albums. Kim responded, “There are no return conditions,” but acknowledged, “There were some internal audits due to certain complaints. It was confirmed that albums sold in 2023 were structured with a very small percentage eligible for returns. However, we have never sold albums under a return condition.”
Rep. Min cited phrases like “planned return project” from an email dated January 4, 2024, to reiterate the suspicion that HYBE manipulated album sales figures through forced sales practices. In response, Kim clarified, “Returns were processed for albums sold in 2023, which happened in January, and we have ensured that this practice cannot continue in the future.”
He added, “It was not a company policy but rather a decision made by some staff members. We have established guidelines to prevent such sales practices, as it is against company regulations,” emphasizing that, “This was not done to the extent that it would disrupt the market or significantly impact our sales figures.”
Recently, various incidents surrounding HYBE have been making headlines in the entertainment industry. Kim concluded, “I understand that this series of events this year has caused fatigue for many people, and we will strive to ensure this does not happen again. We sincerely apologize for the great fatigue caused. We believe that the fundamental mission of an entertainment company is to bring joy to fans and the public. It is true that there were many regrettable aspects this year. We will work hard to prevent such issues from causing fatigue in the future.”
Source: SpoTV News
