Michaela
Summary: Why is K-Drama star Hwang Jung-eum facing jail time in Sоuth Korea?
Hwang is accused of using 4.3 billion won ($3.3M) from her entertainment agency to buy cryptocurrency in 2022. She transferred part of the funds to her personal account and used the rest for taxes. Prosecutors are seeking a three-year prison sentence, while her legal team says she has repaid the money and asks for leniency.
South Korean prosecutors have sought a three-year prison sentence for actress and singer Hwang Jung-eum, who has been accused of embezzling 4.3 billion won (around $3.3 million) from her entertainment agency to invest in cryptocurrency in 2022.
According to local outlet The Hankyoreh, the Jeju District Court’s 2nd Criminal Division held a final hearing on Thursday, during which prosecutors requested a three-year prison sentence for Hwang. She faces indictment on charges of embezzlement under South Korea’s Act on the Aggravated Punishment of Specific Economic Crimes.
“I think I worked too hard and neglected my taxes, which is why this happened. I am reflеcting on my actions. I am sorry,” Hwang said, according to an English translation, as she pleaded for leniency.
Related: Industry Celebrates the New $70M Domain Mogul But His Crypto Shadows Linger
The K-drama star is accused of taking out an 800 million won (around $608,000) loan under hеr one-person entertainmеnt agency. She reportedly transferred 700 million won (approximately $532,000) from the agency’s account to her personal account, citing it as a temporary payment, and used the funds to purchase cryptocurrency across roughly ten transactions. The remaining amount was allegedly used to cover property and local taxes.
Hwang has reportedly admitted to all charges and reimbursed the funds she had withdrawn as advance payments. During the trial, her legal team presented bank statements and accounting records to verify that the repayments had been completed.
Furthermore, Hwang’s legal team emphasized that the agency was solely established for her personal entertainment activities, with the K-drama star holding 100% of the shares and no other performers affiliated.
Related: Crypto Titans Bunker Down Now: Vitalik’s Austerity Vow, Binance $1B Bitcoin Shield
They noted that all assets originated from her own work and argued that Hwang had “acted immaturely,” believing that repaying the funds would suffice. The attorneys urged the court to consider these circumstances and hand down a lenient sentence.
The court is expected to issue its ruling in the coming weeks, with both prosecutors and Hwang’s defense team preparing for the final sentencing. The case could set a precedent for how personal use of corporate funds for crypto investments is treated in South Korea.
Read More
- South Korea Suspends Crypto Lending on Local Exchanges Amid Safety Concerns
- South Korea Fast-Tracks Tokenized Securities and Stablecoin Laws
- South Korea Recognizes Crypto Firms as Ventures — What Does This Mean for Shib?
MICHAELA
Michaela is a news writer focused on cryptocurrency and blockchain topics. She prioritizes rigorous research and accuracy to uncover interesting angles and ensure engaging reporting. A lifelong book lover, she applies her passion for reading to deeply explore the constantly evolving crypto world.
