Kang Daniel shuts down agency, accuses major shareholder of embezzlement

Singer Kang Daniel expressed his sadness as he began to shut the doors of his self-established agency, Konnect Entertainment, after accusing his company's shareholder of embezzling company funds and his personal money.

Singer Kang Daniel [KONNECT ENTERTAINMENT]

Singer Kang Daniel expressed his sadness as he began to shut the doors of his self-established agency, Konnect Entertainment, after accusing his company's major shareholder of embezzling company funds and his personal money.

"The journey with Konnect Entertainment — which provided me with a supportive environment and taught me a sense of responsibility over the past five years — has come to an end," Kang said on his Instagram account on Sunday.

"I want to express my sincere gratitude to all the executives, employees and associates who led Konnect Entertainment through both the highs and lows with me. I will never forget this."

Kang reported the majority shareholder of Konnect Entertainment to police for embezzlement and breach of trust on May 20.

The shareholder forged Kang's signature to sign a 10 billion won ($7,250,000) advance music distribution contract without Kang’s knowledge and withdrew at least 2 billion won from the company's account through overseas remittances and business income processing methods without any proper approval from the CEO, board resolutions or shareholder meetings, according to Kang.

The agency began closing down while Kang pursued legal action against the major shareholder. The agency was founded by Kang in June 2019 and managed artists like Chancellor, Yuju of girl group GFriend and the dance crew We Dem Boyz.

Singer Kang Daniel [SCREEN CAPTURE]

"Though it is unfortunate and regrettable to conclude this journey with such bad news, I will continue to work diligently and quietly as I have always done," Kang said. "I will use this time to think of a better future."

"I will continue to be with you as Kang Daniel," he said, addressing his fandom, Danity. "I will try to bring you good news as soon as possible, so don't worry too much and make sure to take care of yourselves."

Kang debuted in 2017 after winning first place on Mnet’s hit K-pop audition show “Produce 101." He and 10 other finalists formed the project boy band Wanna One, which disbanded in early 2019.

Kang established Konnect Entertainment and debuted as a solo artist in July of the same year, releasing songs like “Touchin’” (2019), “2U” (2020) and “Paranoia” (2021).

To find out more about Kang Daniel, visit Celeb Confirmed!

BY KIM MIN-YOUNG [kim.minyoung5@joongang.co.kr]