On the 22nd, Sung announced on his YouTube channel's community board, "I'll upload three videos next week. I should have promoted Im Seulong's fan meeting over the weekend, and I feel very sorry about that," signaling his return to YouTube. He also released content featuring singers Im Seulong, Soyou, and Jo Jae-joo.
Previously, on the 16th, it was reported that Sung's one-man agency, SK Jaewon, established in February 2011, had been operating without registering as a pop culture and arts planning business. The agency is headed by Sung's sister, Seong Mo, and Sung has been working through SK Jaewon since his exclusive contract with Jellyfish Entertainment ended in 2018.
In response to the controversy, Sung addressed the issue on his Instagram on the 18th, stating, "The registration system for pop culture and arts planning businesses was introduced with the enforcement of the Pop Culture and Arts Industry Development Act in 2014, and I was not aware of it in time. It was the company's fault for not registering after recognizing the new system, and we are deeply reflecting on this."
He further clarified, "Not registering was not related to any intention of income omission or tax evasion. Income has been transparently reported through a tax accountant. This incident has become an opportunity for me to reflect more strictly on myself. I will be meticulous and responsible in my activities."
According to 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 register 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.