According to media reports, YG Entertainment is under pressures due to a special tax investigation conducted by the National Tax Service. However, Yang refutes the reports as fake news.
Yang Hyun-suk, YG Entertainment’s (YG) head producer and founder, drew a line on reports the company is being investigated for tax evasion. The rumor, which appears to have spread through news reports, purports that four inspectors from the National Tax Service (NTS) are currently conducting a special audit of the agency. Furthermore, as a result, Yang and YG are reportedly taking countermeasures to derail the search.
In the post directly responding to the rumor, Yang says that what one person claimed online is now being accepted as fact when it’s not. “It’s different from the truth,” he wrote. Yang states that the company did not get any notice of a special tax audit.
Moreover, even if it did, it would report it. “We are regularly investigated for tax purposes, and every time it is reported. The special tax audit is nothing more than a theory,” he explained.
The rumor emerged on the heels YG terminating their contract with Seungri (real name Lee Seung-hyun). Ending the contract was a move that many felt was an attempt by YG to absolve itself of responsibility after years of chronically mismanaging Seungri. Currently, police are investigating Seungri for numerous allegations from soliciting prostitution to embezzlement. Due to the investigation, the former singer has applied for a postponement of his enlistment, which was to take place later this month.