Kakao Entertainment is demanding the dismissal of Kim Seong-soo and Lee Jun-ho over allegations of costly acquisition of an insolvent production company.
(Seoul = Yonhap News) Reporter Ryu Young-seok = On the morning of the 27th, in front of the Kakao Entertainment Jonggak office in Jongno-gu, Seoul, where the Kakao Entertainment general shareholders meeting is being held, officials from the Kakao Crew Union community union and others hold a sign protesting against the company’s salary proposal. 2024.3.27 ondol@yna.co.kr
(Seoul = Yonhap News) Reporter Choi Hyun-seok = Kakao[035720] On the 23rd, the union requested the termination of the advisory contract of former Kakao Entertainment CEO Kim Seong-soo and former investment strategy division director Lee Jun-ho, who were indicted in connection with the alleged high-priced acquisition of a drama production company.
In a statement distributed that day, the Kakao workers’ union stated that former CEO Kim has continued to have a consulting contract since his resignation, and that former division head Lee remains employed at the company, demanding the immediate termination of the consulting contract and dismissal.
The day before, the prosecution charged former CEO Kim and former division head Lee without detention with violating the Act on Aggravated Punishment of Specific Economic Crimes (breach of trust), increasing breach of trust, breach of trust, and violating the Act on Concealing Proceeds of Crime. They are accused of causing 31.9 billion won in damages to the company by conspiring to have Kakao Entertainment acquire Baram Pictures, an insolvent drama production company actually owned by former division head Lee, at a high price in 2020.
The Kakao union said, “The allegations of unfair trade have been proven to be true, and on the 22nd, former CEO Kim and former division head Lee were charged,” adding, “Even within Kakao, the management reform committee has been in operation for nearly a year, but internal control over management has not been maintained. It is said that there has been no significant improvement,” it said.
Next, “Ryu Young-jun, former Kakao Pay, who caused a ‘scam’ incident immediately after going public,[377300] “It was revealed that a large amount of consulting fees had been paid through a consulting contract to Baek Sang-yup, former CEO of Kakao Enterprise, who had led half of all members into restructuring due to the CEO and careless management. Even though the union requested immediate strike, there is no improvement,” he stressed.
The union said: “We demand the immediate termination of the consultancy contract and the dismissal of unethical managers involved in legal and social issues,” adding: “We demand that internal audits, which have so far not been properly implemented, be conducted and made comprehensively public.”
In addition to internal auditing, the Kakao union plans to report cases of mergers, acquisitions and investment executions suspected of unfair transactions through the “Compliance and Trust Committee,” an external organization to monitor compliance and ethical management.
Union branch chairman Seo Seung-wook criticized, “The union continuously sends warning messages and demands management reform through collective bargaining agreements, but the company is not holding specific discussions on reform due to its management rights.”
harrison@yna.co.kr
Report via KakaoTalk okjebo
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2024/08/23 17:45 Sent
