CL is facing controversy over her agency, Very Cherry. Reports have surfaced that the company has been operating without proper registration for five years.
On September 18, KST, TenAsia revealed that CL founded Very Cherry in 2020 to manage her solo career, but failed to register it under the necessary business category for entertainment management in South Korea.
According to Article 26 of the Act on the Development of the Popular Culture and Arts Industry, entertainment agencies must register their business. Noncompliance can lead to a maximum prison sentence of two years or fines of up to ₩20.0 million KRW (approximately $14,500 USD). Any contracts signed without proper registration are illegal and could lead to a suspension of operations.
A representative from Very Cherry acknowledged the oversight:
“We recently confirmed that our agency was unregistered and recognize the seriousness of the issue. The relevant registration process is currently being expedited.”
This isn’t just CL’s issue. Other celebrities like Ok Joo Hyun, Sung Si Kyung, and Kim Wan Sun have also been found to operate unregistered solo agencies.
In response, the Ministry of Culture, Sports, and Tourism plans to provide guidance and extend the registration deadline for existing businesses until December 31, aiming to help those unaware of the law or who made mistakes during registration.
Monitoring the situation closely.