Controversial K-Pop executive and One Hundred Label co-CEO, Cha Ga-won (차가원), has been arrested. She’s currently under investigation for allegations of fraud involving 30 billion won (approximately RM86 million).
On 3rd August 2026 (Monday), the Seoul Central District Court issued an arrest warrant for Cha Ga-won following a pre-detention hearing on charges of fraud. The CEO is facing fraud charges under the Act on Aggravated Punishment of Specific Economic Crimes and was arrested due to concerns that she might destroy evidence. According to reports, she’s currently detained at the Seoul Mapo Police Station.
Prosecutors claim that Cha Ga-won proposed a business venture to technology company Knowmerce Corp., using the intellectual property (IP) of the artists under One Hundred Label. The label has multiple subsidiaries that manage stars including Chen (첸), Baekhyun (백현), Xiumin (시우민), VIVIZ (비비지) and THE BOYZ (더보이즈). However, it’s worth noting that all the stars have filed to terminate their exclusive contracts following internal issues with their respective companies.
The case alleged that Cha Ga-won signed a contract with Knowmerce and received an advance payment of 24.4 billion KRW (approximately RM70 million). However, she failed to execute the project. The businesswoman also received an additional 5.4 billion KRW (approximately RM15 million) from an acquaintance but failed to honour their agreement.
Authorities from the Seoul Metropolitan Police Agency’s Financial Crime Investigation Unit have been requesting an arrest warrant for Cha Ga-won since June last year. However, the two prior requests were rejected. The third warrant was approved after police collaborated with the prosecution on additional investigation measures, including tracking Cha Ga-won’s accounts and analysing her contractual relationships.
Along with the fraud charges, Cha Ga-won has received backlash for mishandling her K-Pop label. Earlier this year, reports emerged that the company failed to pay the salaries of its artists and employees for months. The artists’ managers were also forced to pay out of pocket for operational expenses. As a result, many of the stars under the company’s roster have filed to terminate their contracts.
The investigation into Cha Ga-won’s fraud charges will continue, but the CEO has repeatedly stated her innocence. Only time will tell what will happen to the disgraced entertainment agency chief.
Sources: Chosun, Korea JoongAng Daily, Koreaboo
