- Hwang Jun-eum misused company funds for crypto, triggering legal action in Korea.
- The actress admitted guilt, repaid the embezzled funds, and avoided prison time.
- A $297M U.S. fine forced her company to exit the market and reshuffle leadership.
South Korean actress Hwang Jung-eum was sentenced to two years in prison, suspended for four years. She will avoid incarceration unless she commits another offense within the suspension period. The Jeju District Court handed down the sentence on September 25, after finding her guilty of embezzling around 4.3 billion won (roughly USD 3.1 million) from her own entertainment agency, Hunminjeongeum Entertainment, which she fully owns.
Crypto Gamble Backfires, Actress Pays Back in Full
Hwang Jung-eum was indicted without detention for misappropriating 4.7 billion Korean won in corporate funds from early 2022 and December of that year, Hwang transferred company funds money earned through her acting work and used a significant portion, about 4.2 billion won, to invest in cryptocurrency.
She also received 700 million won in advance payments by claiming it was for crypto investments. The court saw this as a serious breach of trust, especially because the money belonged to a registered company, even if it was tied to her personal earnings. The situation has ignited conversations regarding corporate governance and the dangers associated with speculative cryptocurrency investments.
In her first court appearance in May, Hwang admitted to all charges and asked the court for more time to repay the money, which the judge allowed. She later returned the full amount in two payments, on May 30 and June 5, and submitted documents proving the repayments.
In a public statement, Hwang shared that she had been running her own agency to manage her acting career and was persuaded by someone close to her in 2021 to invest company funds into cryptocurrency, hoping to grow the business. “Even though the money was under the company’s name, it came from my personal work. I made a poor and naïve decision,” she explained.
Prosecutors originally pushed for a three-year prison sentence, given the amount of money involved and the intentional misuse of company assets. But the judge ultimately gave a lighter sentence, taking into account that Hwang admitted guilt, repaid the full amount, and had no previous criminal record.
Related: Accountant Arrested in South Korea Over $350K Crypto Loss
Hwang Slammed With $297M in U.S., Exits Market
This isn’t Hwang’s first run-in with regulators. Earlier this year, Hwang Jung-eum found herself at the center of a major legal issue in the United States, where she was hit with a massive fine of over $297 million. The penalty came after she pleaded guilty to running an unlicensed money transmission service, a serious violation of U.S. financial regulations meant to protect against fraud and money laundering.
As part of the settlement, Hwang’s company agreed to pull out of the U.S. market for at least two years, halting all operations in the country. On top of that, two of her company’s co-founders were required to step down from their roles, signaling a major shake-up within the organization. This case added to the growing scrutiny Hwang was already facing back in South Korea and highlighted just how risky unregulated financial ventures can be, especially for public figures operating on a global stage. Hwang’s case has raised eyebrows not just because of her celebrity status, but also because it reflects a broader pattern of increased scrutiny in the crypto and entertainment industries.
