Seungri Reportedly Involved In Managing Burning Sun + Yuri Holdings Initially Owned More Shares In Club

Apr 07, 2019

On April 7, news outlet Yonhap News reported about newly found evidence of Seungri taking part in Burning Sun’s management despite having claimed to only have partaken in promoting the club. Furthermore, the initial list of Burning Sun’s shareholders indicates that Yuri Holdings held more shares initially.

Two months prior, Seungri posted a statement on his Instagram account claiming that he was not involved in operating and managing Burning Sun and was simply in charge of publicly promoting the club.

The initial list of shareholders that Yonhap News obtained from a source from Burning Sun was created around November of 2017 when Burning Sun was registered as a club.

According to the document, Burning Sun was capitalized at 50 million won (approximately $44,000), and Yuri Holdings, which was established by Seungri and Yoo In Suk, had 4,000 shares in acquisition stock, which is 40 percent of the total. The form indicates the exact ownership ratio, along with the shareholders’ seals. According to the Burning Sun source, the deal was signed at Le Méridien Hotel (managed by Cheonwon Industry Co., Ltd.) with senior executives from Yuri Holdings in attendance.

However, the current shares held by Yuri Holdings, as revealed by the police, is 20 percent. The source revealed that Yuri Holdings gave half of their entire shares to Seungri’s close acquaintance Madam Lin, a Taiwanese businesswoman.

A source from Yuri Holdings stated, “According to one of the shareholders, Cheonwon Industry Co., Ltd., Madam Lin’s investment forms were not prepared in time because she was a foreigner, so the contract was established while agreeing to hand over 20 percent of the shares later.” They claimed, “At the time of signing, Seungri did not know how the shares were split.”

Yonhap News also obtained Kakao Talk messages in which Seungri delegates work to the Burning Sun staff. Seungri proposed agendas ranging from checking IDs to strengthening the staff’s sex education and stated, “Carry these out starting in early April,” using a commanding tone. This evidence goes against Seungri’s claim that he was only acting as a promoter for the club.