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Seoul’s Yongsan Police Station has formally referred singer CL (Lee Chae-rin) to prosecutors without detention over allegations that her independent agency operated without proper registration. Authorities stated that CL’s one-person label, Very Cherry, launched in early 2020 following her departure from YG Entertainment, did not complete mandatory business registration under South Korea’s Popular Culture and Arts Industry Development Act.
The law requires entertainment management companies exceeding a defined scale to register in order to protect artists’ rights and ensure fair contractual practices. Investigators allege that Very Cherry conducted management activities while unregistered, placing it in violation of the regulation. The case emerged from broader police inquiries initiated in late 2025 following complaints regarding unregistered celebrity-run agencies.
While another high-profile figure previously investigated under the same initiative was cleared, CL’s case was deemed sufficient for prosecutorial review. If convicted, potential penalties include a prison sentence of up to two years or fines reaching 20 million won.
CL has not yet issued a personal statement, though sources close to her indicate that she intends to cooperate fully with legal proceedings. Her representatives are reportedly preparing documentation to clarify the agency’s operational status during the disputed period.
Online, fans have rallied in support, expressing confidence that the matter will be resolved without major consequence. Industry observers note that the case may prompt stricter enforcement of registration compliance across Korea’s rapidly evolving independent artist management sector.
Read also: Korean Police Weigh Arrest Warrant for HYBE Chairman Bang Si-hyuk Over Alleged 2019 IPO Fraud