Artists Taemin, Baekhyun, Chen, Xiumin and THE BOYZ under interconnected music labels are facing a crisis that could severely limit their activities. Numerous companies that worked with these artists have not been paid, and some are now suffering from financial hardship and mental distress. At the center of the controversy is a woman: Cha Ga-won, CEO of One Hundred, Big Planet Made Entertainment and INB100.
According to an investigation published on February 5, Cha Ga-won failed to pay many companies essential to artists’ operations, including album production, content creation, hair and makeup, and marketing agencies. Incredibly, even fees for its artists’ musical show appearances remain unpaid.
“I did nothing wrong, yet I became a debtor. I became a liar to the people who trusted me,” said A, a salesman who worked with Cha’s companies. Months later, A discovered that his bank account had been seized due to non-payment of National Health Insurance fees. With a child to support, they sold their car and took out loans just to survive. The cause of this collapse was Cha Ga-won’s unpaid payments.
Why only digital singles? Massive non-payment to sellers
Cha Ga-won reportedly owes billions of won to numerous suppliers, including printing companies essential to the production of physical albums, as well as production, marketing and styling teams. As a result, artists under its labels are unable to release physical albums, and even digital releases suffer from weak promotion and limited activity.
In fact, after THE BOYZ’s tenth mini album and VIVIZ’s first full album in July last year, followed by Chen’s fifth mini album in September, no physical album has been released for five consecutive months by artists under One Hundred, Big Planet Made or INB100. Since then, Taemin, THE BOYZ, BADVILLAIN, Baekhyun, Xiumin and Lee Seung-gi have only released digital singles.
Albums are the greatest gift for fans and the most stable source of revenue for agencies. Yet THE BOYZ released a three-track digital single last December with no music video. Their Special Unit release in November also lacked a music video.
While these decisions can be framed as artistic choices, the timing coincides with Cha Ga-won being pressured by multiple suppliers over unpaid invoices. More than a dozen companies have confirmed pending payments totaling billions of won. Some have sent legal notices and others are preparing legal action, although many remain cautious about speaking publicly to avoid reputational damage.
Unpaid stage expenses: Will artists be barred from musical shows?
Cha Ga-won has already been reported for fraud under the Law on the Aggravated Punishment of Specific Economic Crimes and is also accused of failing to settle payments owed to her own artists. Its unpaid obligations reportedly extend to broadcasters.
When artists appear on music shows like MBC’s Show! Music Core and Mnet’s M Countdown, agencies often pay for custom sets. Cha Ga-won allegedly failed to pay these taxes, with unpaid balances accumulating since the second half of last year. If unresolved, this could prevent its artists from appearing on these programs.
An industry insider said: “Temporary delays do occur with small agencies, but it is extremely unusual for a large company with multiple artists to repeatedly fail to pay stage fees. This can disrupt the activities of all artists involved.”
Artists under Cha’s companies include THE BOYZ, Taemin, Lee Mujin, VIVIZ, BADVILLAIN, Lee Seung-gi and EXO members Baekhyun, Chen and Xiumin. Everyone is now at risk of losing access to music performances, one of the most vital platforms for interaction between artists and fans.
Cha Ga-won’s erratic management leaves some on the brink of financial ruin
Cha Ga-won’s companies have reportedly earned tens of billions of won by exploiting artists’ intellectual property through concerts, broadcasts and events. However, payments owed to sellers remain unpaid. Financial records indicate a reduction in capital across all of her companies, while Cha herself has reportedly had personal assets seized due to unpaid taxes.
Meanwhile, many sellers, especially smaller ones, are struggling to survive. Seller A revealed: “I have never received payment once for the work I have done. I still have to pay the people who worked with me, but I don’t have the face to see them.”
Another source said many victims are reluctant to take legal action due to industry pressure and the need to continue working to survive.
In response, Cha Ga-won’s side said, “We are currently reviewing the facts regarding these matters. Once confirmed, we will proceed with company-wide settlement and resolution procedures.”
Until then, uncertainty continues to loom over major K-pop artists and the many invisible workers whose livelihoods depend on broken promises.
Sources: Naver
