Korea Music Content Association (KMCA) Releases Statement

Official Statement

The Korea Music Content Association (KMCA) will make every effort to eradicate tampering, which threatens to undermine the very foundation of Korea’s popular music industry.

December 13, 2024 (Friday), Korea Music Content Association

The Korea Music Content Association (KMCA) expresses deep concern over the tampering attempts that have recently become a major issue in the popular music industry, and hereby declares its commitment to making every effort to eradicate tampering, which threatens to undermine the very foundation of Korea’s popular music industry. We have already witnessed so-called “tampering” in the FIFTY FIFTY case, where an external producer hired by an entertainment agency attempted to win over young and promising artists and their parents, thereby destroying their existing exclusive contract relationships with the agency. Shortly after the FIFTY FIFTY case, the tampering allegations against former ADOR CEO Min Hee-jin (hereinafter “former CEO Min”), as recently reported by a certain media outlet, are deeply troubling regardless of their veracity, as they starkly reveal how rampant tampering has become in the popular music industry. Furthermore, as such tampering attempts can occur not only at small and mid-sized agencies but also at major agencies, the Association can no longer stand by and watch.

If such incidents continue to recur, no agency will be able to recruit talented producers as in-house staff or allow them to interact with artists while granting them autonomy through outsourcing arrangements. Moreover, if internal or external producers exploit their close relationships with artists and their parents to break away from the agency and investors at any time regardless of contract terms, and freely use the agency’s creative works and trade secrets, which agency would discover and develop artists and produce albums, and which investor would invest in such an agency?

The FIFTY FIFTY member who left amid public outrage has openly signed an exclusive contract with another agency and is seeking to resume activities. Against this backdrop, tampering allegations against former CEO Min have been raised once again. Accordingly, the Association makes the following requests to former CEO Min, NewJeans, and relevant members of the National Assembly and the government.

First, we ask former CEO Min to clarify her exact position and the facts regarding the tampering allegations recently reported by a certain media outlet. Through past news reports, numerous allegations have been raised, including former CEO Min’s tampering attempts and breach of fiduciary duty against her former agency. Now more than ever, a clear response from former CEO Min, who is directly involved in this tampering case, is necessary. The unproductive media battle instigated by former CEO Min led to numerous speculative articles that were not based on facts. This has caused even the general public, who previously had no interest in “tampering” or K-pop, to develop a negative perception of the industry. Furthermore, due to this tampering case that has continued over the past eight months, the fatigue within the popular music industry is immense. Those working in the popular music industry no longer want to learn about this case through media reports. We urge former CEO Min not to evade with inflammatory and ambiguous responses, but to clearly state the exact facts and bring the current controversy to an end.

Second, the group NewJeans must fulfill their exclusive contract faithfully and engage in sincere dialogue with their agency to reach an agreement; if no agreement can be reached, they should humbly await the judiciary’s decision. You are not the only ones in the popular music industry. Senior artists, executives and employees at other agencies, and fellow and junior artists who look up to NewJeans and nurture their own dreams are all doing their best in their respective positions. We ask you to remember that NewJeans’ standing as artists who have established themselves as representatives of K-pop is by no means small, and to exercise caution in your dealings with the press.

Third, we strongly urge the National Assembly and the government to improve laws and systems to eradicate tampering. Leaving exclusive contracts solely to the realm of private autonomy and the parties’ voluntary judgment has already reached its limits. Although this case may be subject to regulation under current laws for breach of director’s duty of loyalty or breach of fiduciary duty, laws and systems that address the unique characteristics of the popular music industry are currently inadequate. Agencies discover artists through large-scale, long-term investments, and in the process, produce numerous tangible and intangible creative works. Therefore, we request the establishment of individual laws or introduction of systems to maintain order and establish sound business practices in the popular music industry.

Fourth, the Circle Chart operated by this Association will consider excluding from its tallies the album and digital sales of agencies and related artists against whom tampering allegations have been raised. In addition, we will consider excluding and providing such data to music broadcast programs that receive data from Circle Chart (a total of eight music broadcast programs including M Countdown, Music Bank, Show! Music Core, Inkigayo, The Show, Show Champion, The Trot Show, and ENA K-Pop Chart Show) and major domestic music awards ceremonies (Circle Chart Music Awards, MAMA, Golden Disc Awards).

Ultimately, such measures are absolutely necessary to maintain order in the popular music industry, establish sound business practices, and achieve sustainable development of the music industry. Extreme self-interest will ultimately lead to division and mutual destruction within the popular music industry. We once again urge the parties involved in this case to take responsibility for the reputational damage suffered by the industry, exercise restraint, and faithfully cooperate with the investigation. The Association will continue to work closely with all stakeholders and seek ways to promote the sound development of the industry.

The Korea Music Content Association