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Manila Bulletin devider Entertainment devider Music and Concerts devider K-pop star Kang Daniel files complaint vs company shareholder for $10 million fraud

K-pop star Kang Daniel files complaint vs company shareholder for $10 million fraud

Published May 20, 2024 07:01 am

K-pop star Kang Daniel filed a complaint with the police against the majority shareholder of his own agency, Konnect Entertainment, for alleged fraud and embezzlement totaling 14 billion won (about $10.32 million). 

Korean media reported on May 20 that in the complaint filed with the Seoul Metropolitan Police Agency, Kang Daniel accused the unnamed shareholder of forging private documents worth 10 billion won (about $7.37 million), embezzlement and breach of trust in connection with aggravated punishment for specific economic crimes worth 2 billion won (about $1.47 million), and violating the Information and Communications Network Act worth about 2 billion won ((about $1.47 million). 

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Kang Daniel in Manila in October 2022 (Jonathan Hicap)

The majority shareholder is the actual owner of the company, holding about 70 percent of the shares, while Kang Daniel is the CEO.  

Kang Daniel accused the shareholder of signing an advance distribution contract in December 2022 by stealing his name as the CEO and signing the corporate seal without his knowledge. 

He said that he only found out about this in January last year, about a month after signing the contract.

In addition, Kang Daniel alleged that the shareholder withdrew a large amount of money from his agency's account, used a corporate card for an inappropriate purpose, and withdrew a large amount of money from Kang Daniel's personal account without his consent.

Kang Daniel founded Konnect Entertainment in 2019 and has been working as its CEO and artist. 

It started as a one-person agency early on but now includes artists such Chancellor and Yuju, and dance crew We Dem Boyz (WDBZ). 

Kang Daniel's exclusive contract with Konnect is set to expire early next month, and he is expected to take steps to part ways with his agency once the contract period ends, the reports stated. 

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