Renowned actress Hwang Jung-eum, once a member of the musical group Sugar, is facing legal action for allegedly diverting approximately 4.3 billion won from company resources, with the prosecution recommending a three-year sentence.
On the 21st, legal sources confirmed that the Jeju District Prosecutors' Office has formally requested a three-year prison sentence during the concluding trial session. This session, adjudicated by Judge Lim Jae-nam at the Jeju District Court's Criminal Division 2, addresses the purported breach of the Act on the Aggravated Punishment of Specific Economic Crimes, specifically embezzlement.
Hwang is accused of siphoning off around 4.34 billion won in corporate funds, which includes approximately 700 million won sourced from loans taken by Hunminjeongeum Entertainment. These funds were allegedly redirected into cryptocurrency investments, masked as advance payments, during early 2022.
It has been disclosed that Hwang allocated nearly 4.2 billion won of the misappropriated funds into cryptocurrency ventures. The residual funds were reportedly utilized to settle property and local taxes, among other financial obligations.
The company implicated is a family-owned entity exclusively controlled by Hwang, as she possesses 100% of its shares and is its sole artist.
Hwang’s legal team has acknowledged all allegations, asserting that the amounts misappropriated as advance payments from Hunminjeongeum Entertainment had been fully repaid by June 5. Relevant documentation was submitted to the Jeju District Court to substantiate this claim.
Hwang’s defense has sought leniency, arguing that the investments aimed to benefit the company’s growth. They highlighted her lack of accounting acumen and procedural understanding, suggesting her belief that repayment would rectify the issue, which precipitated the criminal act. Emphasizing that there were no other affected parties and that the funds were restored in full, they appeal for the court's leniency.
The court has scheduled Hwang’s sentencing for 10 a.m. on the 25th of the coming month.