On the 16th, 에스케이재원 stated, "Our company was established as a corporation in February 2011 in accordance with the law at that time. Later, in January 2014, the Pop Culture and Arts Industry Development Act was enacted, introducing a mandatory registration for pop culture and arts planning businesses." They continued, "We were unaware of this registration requirement and, as a result, did not complete the registration process. We deeply apologize for our lack of awareness and preparation regarding the relevant laws."
The agency further emphasized, "We are currently in the process of completing the registration as soon as we became aware of the issue, and we are doing our utmost to fulfill all legal requirements promptly."
The agency expressed their sincere apologies for causing concern and assured that they will strictly adhere to relevant laws and operate with greater responsibility in the future.
According to the entertainment industry, 에스케이재원, a one-person agency led by Sung Si-kyung, has been operating without the required registration since its establishment in February 2011.
The CEO of the company is Sung Si-kyung's sister, Seong Mo, and Sung Si-kyung has been continuing his activities through 에스케이재원 since his exclusive contract with Jellyfish Entertainment ended in 2018.
Under the current Pop Culture and Arts Industry Development Act, entertainers operating as a corporation or as an individual business with more than one person must complete the registration as a pop culture and arts planning business. Failure to do so can result in up to two years of imprisonment or a fine of up to 20 million won.