One Hundred Label chairman Cha Ga Won has been sued on charges of large-scale fraud involving more than 10 billion KRW (approximately 7.5 million USD).
According to reporting by The Fact on January 16, a major domestic “entertain-tech” company (hereafter referred to as Company A) filed a criminal complaint with police last month against Cha on fraud charges. Authorities confirmed that the case falls under South Korea’s Act on the Aggravated Punishment of Specific Economic Crimes, with the alleged damages exceeding 10 billion KRW (around 7.5 million USD).
Under Korean law, fraud and extortion are punishable by up to 10 years in prison or fines of up to 20 million KRW (approximately 15,000 USD), while embezzlement and breach of trust carry penalties of up to five years in prison or fines of up to 15 million KRW (approximately 11,000 USD). However, when the amount involved is considered large-scale, enhanced penalties apply under the Act on the Aggravated Punishment of Specific Economic Crimes. The charges filed against Cha reportedly meet this threshold.
Cha Ga Won owns One Hundred Label as well as its subsidiary labels BIG PLANET MADE Ent. and INB100. She is known to exercise decisive authority and influence over company operations. Company A is a business partner of these labels, but notably filed the complaint against Cha personally rather than against One Hundred Label or its subsidiaries.
Company A is described as a global comprehensive entertainment solutions firm that expands entertainment businesses using data and technology based on artists’ intellectual property (IP). It provides one-stop services covering concerts, merchandise, and fan communication platforms. In many cases, entertainment agencies reportedly receive substantial advance payments when signing contracts that utilize artists’ IP for concerts, merchandise, and platforms.
One Hundred Label, along with BIG PLANET MADE Ent. and INB100, has used Company A’s platform and entered into contracts involving their artists’ IP, receiving large advance payments. This issue was previously addressed in The Fact’s December 29 exclusive report, 'Cha Ga Won’s Abnormal Company Operations: 108 Billion KRW (Approx. 81 Million USD) Spent on Styling and 72 Billion KRW (Approx. 54 Million USD) in Advance Payments.’
That report, based on an analysis of BIG PLANET MADE Ent.’s 2024 audit report, found that the company was in a state of complete capital impairment. INB100 was reported to be in a similar condition, with both companies effectively sustaining operations through advance payments received for artists’ concerts and album-related activities. Company A was identified as one of the sources from which she secured large sums of funding.
Audit reports indicate that she obtained hundreds of billions of won in advance payments through artist IP across her labels. While the exact amount received specifically from Company A has not been confirmed, the newly filed complaint suggests the sum exceeds at least 10 billion KRW (approximately 7.5 million USD), with contracts allegedly not being properly fulfilled. Company A appears to have concluded that she engaged in deceptive practices during this process.
The Fact contacted Cha Ga Won’s side for comment at around 4 p.m. on the day of reporting, but no official response had been provided as of publication. In addition, she has reportedly failed to properly settle payments with affiliated artists since at least the second half of last year, according to information confirmed by The Fact ('Baekhyun, Taemin, The Boyz: Around 1 Billion KRW Each [Approx. USD 750,000] Cha Ga Won Amid 5 Billion KRW [Approx. USD 3.7 Million] in Unpaid Settlements').
In response, One Hundred Label did not directly confirm or deny the existence of unpaid settlements, stating instead, “Depending on each artist’s contract terms and activity status, discussions and adjustments are currently being conducted normally.” This has been interpreted as an acknowledgment that some payments were not settled within the designated timeframe.
Amid these circumstances, she now faces a lawsuit over alleged fraud involving more than 10 billion KRW (approximately 7.5 million USD). The situation has raised concerns over the value of the efforts made by affiliated artists, many of whom have continued demanding schedules, including world tours.
Concerns are also growing that the issue may extend further. Reports indicate that numerous companies involved in album production and promotional activities for artists under One Hundred Label, BIG PLANET MADE Ent., and INB100 have yet to receive outstanding payments. There is growing fear that not only artists, but also industry professionals who contributed their labor and expertise, may see their efforts go uncompensated.
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