Once a member of the musical ensemble Sugar, Hwang Jung-eum is now facing serious allegations of misappropriating company funds amounting to approximately 4.3 billion won, with a subsequent request from prosecutors for a three-year custodial sentence.
On the 21st, insights from legal sources revealed that the Jeju District Prosecutors' Office pursued a three-year sentence against Hwang during her concluding trial session. The session, held at the Jeju District Court's Criminal Division 2 under the judicious oversight of Presiding Judge Lim Jae-nam, centered on charges of violating the Act on the Aggravated Punishment of Specific Economic Crimes, specifically embezzlement.
The charges detail that Hwang illicitly diverted about 4.34 billion won in corporate finances, which includes a significant portion—approximately 700 million won—originating from loans secured by Hunminjeongeum Entertainment. These funds were clandestinely channeled into cryptocurrency investments, misrepresented as advance payments early in 2022.
Further reports indicate that Hwang allocated around 4.2 billion won of the misappropriated funds towards cryptocurrency ventures. The residual amount was expended on property and local tax obligations, among other fiscal responsibilities.
The enterprise involved is a family-operated entity where Hwang exercises full ownership, being the sole artist under its aegis.
Representatives of Hwang have acknowledged the veracity of the charges and have reportedly reimbursed the funds initially taken as advances from Hunminjeongeum Entertainment by June 5th. Documentation corroborating this repayment has been submitted to the Jeju District Court.
In a bid for judicial leniency, Hwang's legal team contended, "The defendant's investment actions were driven by aspirations to enhance the company's value. However, her inadequate grasp of financial management and procedural norms led her to believe that restitution would mitigate any legal infractions. With no additional victims and full restitution accomplished, we request the court's leniency in sentencing considerations."
The forthcoming sentencing hearing for Hwang is slated for 10 a.m. on the 25th of the next month, where the court's decision will be formally pronounced.