jyjtimeline

[News] Chariman of Cosmetics Company that is Suing SM: “It’s just a simple financial investment.”

Posted on: March 31, 2011

“The three members of DBSK, each invests about ₩ 70 million, 60 million, and 40 million.”

The CEO of CREBEAU cosmetics company, Kang Seok-won met SM representative Kim Young-min on the 4th at Seoul central district prosecution office for defamation issue has been accused to SM.

Earlier on the 2nd, he met reporters at the company headquarter in Seocho, Seoul. “The case here is about the long-term distribution contract that reveals an unfair distribution income. However, SM Entertainment distorted the nature of dispute and pointed our company as the main cause.” He puked a resentment.

“Since last July, SM requested a content certification by fact-checking the investment information about DBSK members who invest in our company. The members are only investors. There’s no such intellectual property involved in which SM has been concerning about. We have enough stated our position without distorting the truth. The announcement about members’ investment information has been passed.”

This is what DBSK members’ investment is about. According to Kang Seok-won on the 4th, each member invested about 70 million, 60 million, and 40 million won. Simply by seeing from the equity ratio, they won’t be able to participate in company’s management.

Kang explained further, “SM officials had visited our office in China twice last May for the purpose of investigating pictures rights that are used on the product sold. Those (SM) people need to cross check their facts and stop distorting the nature of the case. It’s an irrelevant asserts and they’ll only find faults in their investigation.”

About the rumor that ‘members investing in cosmetics business was allowed by SM’, Kang said, “The members said directly themselves, ‘if we’re not allowed to invest here, there won’t be any possibility of us to invest at all.’”


source: ohmynews
summarized trans: sharingyoochun@wordpress

T/N: Equity ratio is amount of investment divided by total company equity. Unless one’s investment reaches 20% – 50% of company’s total equity, they won’t have significant control over company’s policies. The total percentage of investment that Jaejoong, Junsu and Yoochun as well as their family members who also invested, comes up to 62.5%. But JYJ are three people and individually does not own 62.5% of the company’s total equity. They, giving a guess of the total investments made by JYJ themselves, only cover like 1-5% each of CREBEAU total equity.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Archives

Blog Stats

  • 8,744 hits

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 9 other followers

%d bloggers like this: