ASTRO
member Cha Eun-Woo's tax evasion case is getting muddier. The K-pop idol-turned-actor is facing the heat and this is now impacting his brand endorsements. In a new update, Korean media claimed that the advertising industry has started distancing itself from Eunwoo after the National Tax Service accused him of large-scale tax evasion amounting to over 20 billion KRW (about $13.7 million). Suspicion arose around his one-person agency after officials claimed it was aimed at reducing income taxes. Eunwoo, who is currently serving his mandatory military service, issued a statement on the matter through his agency, Fantagio.
Cha Eun-Woo's videos removed by skincare brand
Soon after Fantagio's statement on January 22, OSEN reported that skincare brand Abib had switched videos featuring Eunwoo on platforms such as YouTube to private. This leaves the clip unplayable with a text such "This video cannot be played" or "This is a private video." The company has done the same on even Instagram. That's not all. Posts on X (formerly Twitter) that announced Eunwoo as the brand ambassador have also been deleted. Though his face remains on its official website, it might also be taken down. The label is yet to confirm the reason behind its decision, and whether it was connected with Eunwoo's tax evasion case.
Eunwoo faces allegation of running 'paper company'
Regarding his alleged "one-person company," officials claimed it was a corporation established by his mother, which was inserted between Fantagio and the star. The contract was meant to provide support services for his entertainment activities. Even Eunwoo's earnings were reportedly divided among Fantagio, the corporation, and himself.
Shocking detail about registered address of company
When netizens dug out the address under which a corporation was registered, they were shocked to find an unexpected detail. The information about the business registry of the corporation is publicly available in South Korea, as it is required by law for registered companies. According to netizens, the address registered to LNC Company was in Incheon, Ganghwa-gun. But some social media posts claimed the address appears to correspond not to to a grilled eel restaurant, and not an entertainment or management office. It is known that the restaurant is run by Eunwoo's parents. Many are now guessing that the company in question may have been a "paper company" given the location seems suspicious.