Money Queen K-Pop Star’s Comeback in Jeopardy After ¥400M Embezzlement Scandal

Two years in prison, suspended for four years—

The guilty verdict for the former South Korean idol has been finalized, as she did not file an appeal by the October 2 deadline. The convicted individual is Hwang Jung-eum (40), a former idol and popular actress.

Entertainment writer Lee So-yeon, who is knowledgeable about the Korean entertainment industry, explains:

“Hwang debuted at the end of 2001 as the leader and main vocalist of the idol group ‘Sugar.’ After leaving the group in December 2004 when her contract expired, she pursued acting, but her career struggled for a while.

The turning point came in August 2009, when she appeared on the reality show ‘We Got Married.’ Co-starring with the then-popular singer Kim Yong-joon (41) and developing a real-life relationship boosted her public attention significantly. In September 2015, she starred in the drama ‘She Was Pretty’ alongside popular actor Park Seo-joon (36), which also gained attention in Japan.”

Encouraged by those around her to invest in cryptocurrency

Why did a popular actress in both Japan and South Korea end up with a guilty verdict? The background is as follows:

“It is reported that she embezzled 4.36 billion won (about 430 million yen) in funds lent to her agency, dividing the embezzlement across 13 transactions from July to October 2022. Of that, 4.2 billion won (about 420 million yen) was invested in cryptocurrency, while the rest was reportedly used for stock-backed loans and local taxes. When the embezzlement came to light and she was indicted, the flashy way the money was spent earned her the nickname ‘Money Queen.’

The trial began in May this year, and the guilty verdict was handed down in September (as noted at the start). The court acknowledged that the crime is not minor, but gave a suspended sentence because the victim company had been fully reimbursed by Hwang’s personal agency in May and June this year. Hwang issued a statement apologizing: ‘I was trying to grow the company, and those around me advised me to increase funds through cryptocurrency investment. It was an immature decision.’” (Korean newspaper reporter)

Although the verdict is finalized and Hwang has expressed remorse, the personal damage is significant. Lee So-yeon explains:

“Hwang divorced her husband (a former professional golfer and businessman) in May this year due to his infidelity. The embezzlement case surfaced while she was trying to recover from the negative image of the divorce. Even though this happened within her personal agency, the responsibility lies with her. The negative impact on her future entertainment activities is inevitable.”

The path to a comeback for the former idol, who once enjoyed popularity in both Japan and South Korea, looks set to be extremely challenging.