YG Entertainment is struggling to prevent trainees from leaving.
According to officials on Augst 26, several trainees from YG are currently meeting and discussing with other agencies regarding transferring from the agency. Among those leaving are trainees from 'YG Treasure Box' who were expected to debut in July as well as YG trainees that made an appearance in Mnet's audition program 'Produce X 101.'
An official revealed, "I can confirm that there are trainees that have already left YG and have a contract with a new agency and some trainees are currently finalizing their agreements."
Trainee contracts vary from one agency to another but most contracts last about a year. It's normal for trainees to move agencies at the end of the contract period, however, in YG's situation, the reasons are due to the ongoing controversies involving the agency.
YG is one of the top rated agencies in Korea and was the envy of many trainees and singers. However after revelations of drugs, sexual assault and more in 'Burning Sun' gate involving former Big Bang member Seungri and allegations of prostitution and illegal gambling involving YG's former CEO Yang Hyun Suk, the agency has been in crisis.
According to industry officials, the postponement of 'Treasure 13' debut led to the loss of trainees as they'd have to wait for another opportunity to be given later and as a result many opted to move to other agencies.
Korean Police: "We will summon Yang Hyun Suk and Seungri on 28/29"
Meanwhile, police revealed that they expect to summon Yang Hyun Suk this week for alleged illegal gambling overseas and suspected 'Hwanchigi'.
A police official said on Augst 26, the Seoul Metropolitan Police Agency's Intelligence Criminal Investigation Unit is expected to call Seungri and Yang Hyun Suk on violations of the Foreign Exchange Transaction Act as suspects on the 28th and 29th, respectively. They're being investigated for illegal gambling overseas at the Las Vegas MGM Hotel and Casino.
Both Seungri and Yang Hyun Suk are also suspected of obtaining gambling funds locally using the so-called "Hwanchigi" technique, an unregistered foreign exchange transaction. Police conducted a search and seize at YG's headquarters in Mapo-gu, Seoul to secure relevant data such as deposit and withdrwal details and are reportedly analyzing the flow of money to determine whether Yang and Seungri may have used YG funds for gambling.
This article is republished from Daily Naver
