K-pop Big Bang member booked on alleged sex bribery; company shares drop

YG Entertainment

11/03/2019 04:23

SEOUL, March 11 (Reuters) - A member of South Korean K-pop
band Big Bang, who goes by the stage name Seungri, has been
charged with providing prostitutes to foreign investors in his
private club, media reported on Sunday, sending shares of his
agency as much as 14 percent lower.
    His agency, YG Entertainment Inc  122870.KQ , one of South
Korea's three major K-pop talent agencies, told Reuters on
Monday that it was aware the singer had been charged, however,
it did not have any new comment.
    Shares of YG Entertainment fell as much as 14.2 percent to
their lowest since November 2018.
    Police were not immediately available for comment.
    The 28-year-old singer, whose real name is Lee Seung-hyun,
was also not available for comment on Monday.
    He denied procuring prostitutes last month when a media
outlet reported he had been involved in "sex bribery".
    Shares of YG Entertainment plunged 21.9 percent after that
report. 
    Following the February media report YG Entertainment said in
a statement the report was false.
    The agency said on Monday its position remained the same. 
    The scandal comes ahead of the singer's mandatory military
services, which all able-bodied men in South Korea must
complete.
    The agency said that the singer would join the army later
this month to fulfil his military duties.

 (Reporting by Joori Roh)
 ((joori.roh@thomsonreuters.com; +82 2 3704 5642; Reuters
Messaging: joori.roh.thomsonreuters.com@reuters.net))