[NEWS] ‘Palm News’ to reveal proof of SM Entertainment’s obstruction of JYJ’s activities? — Coverage of FTC’s investigations into SM and JYJ broadcasted!



On December 22nd, journalist Lee Sang Ho revealed that he would be showing proof of SM Entertainment‘s obstruction of JYJ‘s activities for the very first time through Palm TV‘s ‘Lee Sang Ho’s Palm News‘.

Representatives of the show stated, “For the past 14 months, journalist Lee Sang Ho will be exclusively unveiling the investigations by the Fair Trade Commission. Officials of the FTC have been investigating SM Entertainment since March, and results show that there was indeed proof of the obstruction of JYJ’s activities, as well as a fine of several hundreds of thousands in penalty being processed.”

The show is expected to include an exclusive interview of Jung Hae Im, the first official figure to lead the investigations into SM’s 13 year contracts and minimize them to seven years. Jung is once again at the forefront of the recent issue with the FTC.

The chief of the FTC, Lee Tae Hwi, however, revealed through Star Today that this was not the case. He stated, “I do confirm that there are current investigations being done regarding the issue with SM and JYJ, but we have yet to lay down a fine worth the amount they claim. I also find it difficult to reveal the details of our investigations at this point, and promise to release an official statement once things begin to materialize.”

On December 22nd, the broadcast stated, “SM Entertainment worked with the Korean Federation of Pop Culture and Art Industry (KFPCAI) and the Korean Entertainment Producer’s Association (KEPA) to keep JYJ from appearing on TV programs.”

Reporter Lee Sang Ho stated, “SM Entertainment is expecting a fine of around $500,000 USD to $800,000 USD within the year, which is the amount that JYJ lost by the obstruction. There is a lot of tension building around SM and the Fair Trade Commission, as the company has been trying to cut back on the costs of the fine as much as possible. The FTC’s chief, Lee Tae Hwi, has expressed that he hopes this case will be an opportunity for the entertainment industry to establish justice and order. There may be additional investigations ordered.”

The reporter then submitted documents to show that SM had worked with the KFPCAI and the KEPA to keep JYJ out of broadcast appearances. However, these documents of the KFPCAI attempting to restrict JYJ’s TV activities were already put in public light last October.

At the time, the KFPCAI and the KEPA had stated, “Due to the fact that the lawsuit surrounding the three members and SM Entertainment has yet to be resolved by the law, and since they [JYJ] have formed their own group for the release of albums and promotions, we have decided that no matter what the final judgment is, this will set an unfair precedent in the industry. As such, we have sent out letters to halt broadcast stations from allowing JYJ on their shows.”

The FTC, on the other hand, denies the claims. Speaking through OSEN, Lee Tae Hwi expressed, “We are in the process of an investigation because there has been a report of such activity, but whether or not we will take this to the committee has yet to be decided. We cannot reveal the inner details of the investigations yet, but we will take it to the committee once we judge that there were indeed illegal activities.”

Jung Hae Im, the figure that led the FTC to investigate the matter, was asked what motivated her to report it, to which she replied, “Despite the fact that JYJ had released a drama OST, digital distributors did not provide their songs and consumers had no choice but to buy the physical CD. The point of digital distribution websites are to allow consumers to purchase songs of their choice for a fee. I, however, was not able to purchase what I wanted to listen to because this method was blocked.”

The episode was broadcasted on December 22nd at 6 p.m. KST.

Source + Photos: Newsen via Daum, Star Today via Naver —  Star News, OSEN
credit: allkpop
shared by: iXiahCassie

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