HYBE rejects ADOR's audit claims, says 'hundreds of millions of won' was pocketed illegally with Min Hee-jin's approval

4 months ago | 29 Views

The feud that started between HYBE and ADOR last month gained momentum after an audit of latter's employee on Thursday. As reported by Soompi, on Friday ADOR CEO Min Hee-jin issued a statement making several claims. According to it, an ADOR employee "suffered due to an illegal audit based on irrational issues raised by the HYBE audit team".

What ADOR said after recent audit of its staff by HYBE

As per the statement, the HYBE team began an audit of ADOR’s style directing team leader at around 7 pm, which continued for over five hours till past midnight on Friday. It also said that the team "followed her to her home, demanded her laptop, personal cell phone, and committed irrational behaviour including severe threats".

HYBE audit team reportedly talked about the contractual relationship between ADOR and the style directing team leader. It also said that "embezzlement cannot be established contrary to what is being claimed by HYBE". ADOR said that the method of this audit "constitutes illegal actions such as interference with business, coercion, and invasion of privacy." Ador also claimed that HYBE "has been conducting a smear campaign". It added it might file a legal complaint against HYBE.

HYBE slams ADOR, Min Hee-jin

Responding to it, HYBE dismissed Hee-jin's claim that the audit conducted "was carried out legally and in a non-coercive manner with the consent of the auditee". A part of the statement read, "During the audit process, the team leader admitted to having received hundreds of millions of won worth of money and valuables from outsourcing companies over several years with the approval of Min Hee-jin. The team leader then expressed willingness to submit her personal laptop left at home. Consequently, with her consent, only a female employee accompanied the team leader into her home to retrieve the laptop."

HYBE talks about embezzlement

HYBE also spoke about ADOR's claim that it is "a common practice in the advertising industry and embezzlement cannot be established". It said, "There is no such practice where a company’s full-time employee directly receives hundreds of millions of won in benefits from advertisers. The fact that such amounts, which should be recognized as company revenue, were privately handed over and that the CEO knowingly tolerated this for years is not a practice but a clear illegality. Moreover, Min Hee-jin has not initiated any follow-up measures such as recovery or penalties for the illegal payments. We expect that the whereabouts of the hundreds of millions of won worth of unjust profits received by the team leader will be clearly revealed through further investigation."

As per HYBE, when its HR inquired about the matter, Hee-jin treated it "like it was no big deal even when she knew how serious this matter was. Then, she internally discussed ceasing the team leader’s acceptance of money and valuables, using HYBE as an excuse".

HYBE to take further action

HYBE expressed its "strong regret toward Min Hee-jin’s side for issuing a statement based on false information, attempting to mislead the public once again". It added that this is "serious defamation of the company". HYBE said it will "take all possible civil and criminal legal actions regarding this matter".