4:10 pm - 01/04/2013
Stardom releases official statement regarding the lawsuit filed by Block B
Stardom's Official Position About Block B's Filing for an Injunction
Hello, this is Stardom.
We are sorry to be greeting you at the beginning of the new year of the serpent with a not good thing. Because there are parts wrong in the contents of the incomplete report, we will explain those.
- On unsettled payment of earnings
The profit earnings of the artists Block B, who belong to our Stardom Entertainment, have all been calculated and paid. In relation to the calculations, all earnings have been fulfilled without missing a payment.
The exclusive contract states that in the case when a profit occurs, the payments would be calculated every month on the 25th. However, after debut, from April 2011 to October of the same year for six months, there was not one occurrence of profit, and due to that process we were unable to calculate the payments every month.
In regards to the account balancing cycle, as known at the time of the contract, it was decided to proceed monthly. However we would like to clearly disclose that in March 2012, we visited the members' parents and with approval, the account balancing cycle was changed from every 1 month to every 3 months.
- The swindling of money and valuables from the members' parents by agency CEO Mr. Lee under the pretext of promotion and other fees
It is true that Mr. Lee who was initially employed as a manager, forged qualification of a 'CEO' and made a counterfeit nameplate and other things, and swindled part of the members' parents.
Mr. Lee tricked both the company and the members' parents. He met the parents on his own accord and extorted money and goods from company funds and the parents. At present, his whereabouts are unknown.
The company found out about this truth too late, but at the time, in the case that the victimized parents turned to the company for this incident, it could cause damage to Block B, so we reached a decision to postpone legal proceedings.
On the account of those victimized, Mr. Lee has been criminally charged and put on the wanted list. We, Stardom, hope that Mr. Lee will be apprehended as soon as possible.
The person who assisted in Mr. Lee's crimes at the time, after resigning from the company, is currently supervising Block B, blaming the company for his own actions on the things he started. We are planning to immediately take legal action about this matter.
- The reality of the dissatisfaction about the small amount of broadcasting
After Block B's comeback on February 2012 and Stardom completed hard work in preparations, in the middle of an active domestic promotion, we had to go through an absence period of about 8 months due to the incident that occurred during an interview in Thailand. After that period, the Block B members came to have dissatisfactions about the company for not being able to smoothly go on broadcast.
Stardom also came across hardships during the above mentioned time. We devotedly worked hard in our efforts so that Block B would be able to promote again, and in the end of it we were able to make it so that they could continue on broadcasts again.
- On the existence of someone pulling the strings
Despite the agency working hard in distributing the profit to provide even a bit better of an earning to our singers in, we confirmed that there is someone working behind the scenes, instigating and encouraging the members in this recent state of an injunction filed to cancel the exclusive contract. We cannot help but lament at this.
That person used the balance accounting issue to intentionally block easy communication between the Block B members or families and encouraged distrust about Stardom. And they blamed the company for all the wrong-doings they did while working inside of Stardom. We were able to figure out the whole truth while recently conversing with the members' families.
- On the measures we will take from here
In order to hold a discussion with the Block B members, Stardom sent an official document at the end of the year, and while preparing for a meeting this afternoon, we found out through articles on the Internet that the Block B members filed an injunction for revocation against the company. Regardless, Stardom promises to do all that we can to resolve the misunderstandings and aim for a happy resolution with Block B who are still artists with us at this time.
We will work to be able to greet you with better news.
source: youngha @ blockbintl