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HYBE Wanted to Manipulate NewJeans' Sales to Outsell Aespa; Min Hee Jin Refused
Several weeks ago, Min Hee Jin revealed that Bang Si Hyuk had asked her to "crush Aespa," and it seems that beating Aespa was very important to him, to the point of wanting to cheat to surpass SM Entertainment's girl group. During the trial, it was revealed that in an email sent to HYBE in early April, Min Hee Jin mentioned HYBE's request to cheat by buying albums to increase NewJeans' sales numbers and thus surpass Aespa.
This was an offer Min Hee Jin refused. In the email, Min Hee Jin wrote: "HYBE proposed using a tactic of pre-purchasing hundreds of thousands of copies. The company insisted that upon the release of 'Get Up,' using this method to manipulate sales would allow us to beat Aespa's weekly sales. However, this clearly violates ADOR's philosophy, so I refused this proposal."
HYBE Wanted to Oust Min Hee Jin After She Requested an Internal Investigation into Sales Manipulation of HYBE Artists
On 17 May, during the trial, it was revealed that in an email sent to HYBE in early April, Min Hee Jin mentioned a request from HYBE to cheat by purchasing hundreds of thousands of albums to manipulate sales figures and boost NewJeans' numbers, thus surpassing Aespa. Min Hee Jin refused this offer. Some agencies secretly employ this strategy and involve bulk purchasing albums of their own groups at launch to inflate pre-order and first-week sales figures.
The agency then plans fan sign events multiple times a day for months to sell off the stock to fans. Sometimes, the agencies can't sell all the stock, so the albums remain unsold but are still counted in the sales figures. Naturally, people need to learn that an agency is using this type of manipulation technique. Further revelations continue, and we learn that Min Hee Jin had requested an internal investigation at HYBE to uncover which artists in the agency were using this method to manipulate sales. Shortly after Min Hee Jin's request for an investigation, HYBE demanded Min Hee Jin's dismissal.
In her email sent to HYBE in early April, she explained: "I am well aware that this tactic is widely used across all labels under HYBE. However, I must request a transparent investigation and appropriate measures in response to any cases of negotiated exchanges under conditions of returns and other exchanges that can be considered 'advance purchases'." It was shortly after this request that HYBE asked for Min Hee Jin's dismissal and began auditing ADOR.
Min Hee Jin Accuses HYBE of Lying to ADOR to Steal a Luxury Brand Deal from NewJeans and Give It to LE SSERAFIM
In the same email, Min Hee Jin accuses HYBE of stealing a luxury brand deal from NewJeans and giving it to LE SSERAFIM. She states in the email: "Thanks to the explosive popularity that NewJeans experienced immediately after their debut, advertising offers poured in to the point where NewJeans didn't need separate promotions to secure deals. However, due to issues caused by HYBE's brand synergy department, which handles advertising contracts, the brand and advertisers often had to deal with unnecessary conflicts. Each time, ADOR raised an issue but saw no improvement until a serious error occurred. A foreign luxury brand that had approached NewJeans for a partnership deal encountered contradictions when LE SSERAFIM approached it for a new deal. During this process, HYBE's brand synergy team lied to both ADOR and the foreign brand. The brand synergy team should treat ADOR and Source Music equally. However, the team seemed to have a bias in favor of one artist over another, and even then, it was only after ADOR's complaint that the contract was fulfilled after a refund was processed for a period of 3 months. Of course, it was the brand that had to clear up misunderstandings with the advertiser in person."
HYBE Accuses Min Hee Jin of Gaslighting NewJeans, Following a Shaman, and Contacting Investors; Judge Asks HYBE to Stick to Legal Facts
On HYBE's side, numerous accusations have been made against Min Hee Jin. According to HYBE's lawyers, Min Hee Jin portrays herself as a motherly figure to NewJeans, but this is just a facade. According to HYBE's lawyers, Min Hee Jin hates working with the members of NewJeans and has described them as "mentally weak." HYBE also claims that Min Hee Jin has gaslighted the NewJeans members and wants them to be submissive to her. HYBE also claims that Min Hee Jin relies on a shaman for making decisions within ADOR. These statements from HYBE's lawyers were poorly received by the judge, who expects evidence against Min Hee Jin rather than baseless allegations without proof. The judge asked HYBE's lawyers to stick to the legal facts. Following this, HYBE claimed that Min Hee Jin had met with outside investors to separate ADOR from HYBE. HYBE's lawyers stated that Min Hee Jin had met with several investors, venture capital firms, and external analysts to plan a buyout. According to HYBE, Min Hee Jin also requested the right to terminate NewJeans members' exclusive contracts with ADOR.
HYBE Submits Allegedly Insulting Messages from Min Hee Jin to NewJeans; Court Rejects Due to Lack Of Evidence
In the messages presented by HYBE, there were expressions such as: "Tell them to stay humble because even if they become as big as pigs, we will make them popular," "They didn't become popular because they're talented. Tell them to look in the mirror," and "Elementary school kids getting scolded because they can't lose weight." However, these messages submitted by HYBE were rejected by the court during the trial. According to media reports, HYBE only showed the court partial and blurred messages, claiming they were from Min Hee Jin. Min Hee Jin's lawyers objected, stating that the messages were not only obtained illegally but also that their presentation (cut, blurred, and rearranged) could very well tell a different story from reality when reorganized to alter Min Hee Jin's words. Due to a lack of proof regarding the authenticity of the messages, the court rejected the messages submitted by HYBE.
Min Hee Jin Accused of Manipulating NewJeans' Parents Before Email; She Denies the Accusation
Did Min Hee Jin attempt to sway the opinions of the parents of NewJeans? On May 21, it was reported that CEO Min Hee Jin had a conversation with the head of the ADOR unit a day before the parents of the NewJeans members sent their complaint letter on March 30.
In the revealed KakaoTalk messages, it was suggested that CEO Min Hee Jin intended to actively use the parents of the NewJeans members, as long as it did not violate the shareholders' agreement. She allegedly stated: "Is it written from the mothers' perspective? We should consider the tone of the phrases. We can actively exploit the fact that the mothers haven't signed a contract with HYBE. Are there any clauses worth opposing?"
On April 20, two days before HYBE initiated an audit of ADOR, it was reportedly said: "It will be the mothers who file a complaint with the Fair Trade Commission. It wouldn't seem normal for the subsidiary to file a complaint. It's better for the mothers to criticize. The fact that the mothers filed the complaint alone will prove our innocence. If the subsidiary files a complaint, there could be allegations of harm to the company."
In response, CEO Min Hee Jin and ADOR refuted these accusations and stated: "It is not true that the parents of NewJeans followed the instructions of CEO Min Hee Jin. They were invited to express their anger at HYBE's misconduct and voluntarily wrote the complaint letter to ADOR."
HYBE Accepts Court's Decision Regarding Min Hee Jin and Announces Future Actions
HYBE has issued an official statement regarding its position following the recent court ruling in favor of Min Hee Jin. On May 30, the court ruled in favor of Min Hee Jin to prevent HYBE from exercising its voting rights at the upcoming ADOR shareholders' meeting. HYBE had planned to use its status as the majority shareholder (80%) to remove Min Hee Jin from her position as CEO of ADOR. Following this court decision, HYBE officially stated:
"Our company respects the court's decision regarding the provisional injunction request filed by CEO Min Hee Jin and will not exercise voting rights in favor of the dismissal of internal director Min Hee Jin at the upcoming extraordinary shareholders' meeting. Furthermore, as the court clearly stated in this decision, 'it is evident that Min Hee Jin sought ways to weaken HYBE's control over ADOR and to allow Min Hee Jin to independently control ADOR, either by removing NewJeans from HYBE's control or by pressuring HYBE to sell its shares in ADOR,' our company plans to proceed with subsequent actions within the limits set by law."
Min Hee Jin Wins Her Lawsuit Against HYBE; HYBE Cannot Dismiss Her from ADOR CEO Position
On May 30, the Seoul Central District Court granted Min Hee Jin's request for an injunction to prohibit HYBE from using its voting rights to dismiss her from ADOR. The court stated: "The reasons for the dismissal or resignation of Min Hee Jin cited by HYBE have not been sufficiently substantiated. While Min Hee Jin's actions may be considered a betrayal against HYBE, it is difficult to say that they constitute actions of breach of trust with respect to ADOR." This ruling marks a significant victory for Min Hee Jin, allowing her to retain her position as CEO of ADOR despite the major corporate struggle with HYBE.
