SEVENTEEN DK Faces Criticisms After He Established Own Corporation to Purchase New Building - Here's Why
SEVENTEEN DK raised suspicions of establishing a paper company. In particular, the male idol reportedly launched a private corporation RoaD.K, prior to the purchase of his new building in Gangnam.
Although the building corporation was established in July, there's allegedly no project that was carried out by his company; thus, he was criticized for using RoaD.K just for capital gains.
While SEVENTEEN's new album "Attacca" was on a relentless rise, a problem arose when Dokyeom, also known as DK, purchased a building after establishing a private corporation.
DK Purchased New Building For 6.8 billion Won After Establishment of Private Corporation RoaD.K
Earlier in November, various Korean media outlets reported that DK purchased a five-story building located in Sinsa-dong, Gangnam-gu, Seoul.
According to this, Dokyeom purchased the building on August 13 and paid the balance on the 29th of October.
In addition to this, the said building was said to cost 6.85 billion won and was purchased under a newly constructed corporation registered under the name of the idol.
As a result of confirming the certified copy of the register registered in the Anyang Registry of Anyang Branch of the Suwon District Court, Dokyeom established "RoaD.K Co., Ltd." under his real name Lee Seokmin on July 29.
However, RoaD.K, a corporation, holds a 100% stake in DK, which means that the building is in a sole proprietorship.
The corporation is based in Gyeonggi-do, which business purpose includes software development and supply, film, video and broadcast program production, management consulting and public relations services, office support services, telecommunications management, real estate sale and real estate rental and sublease business.
ALSO READ: SEVENTEEN DK Purchases $5+ Million Building in Sinsa-dong
Controversy Over 'Trick' to Purchase a Building Arises
While DK receives congratulatory messages from fans for his new building, DK wasn't able to escape the criticism for allegedly "tricking" into establishing a new corporation to apply for a loan to buy a new building, and later of reselling it to seek market profits.
DK is also controversial because, after the establishment of his corporation in July, it is not known whether it has carried out related projects related to its purpose.
As a result, the SEVENTEEN member was accused of establishing a paper company (a company that exists only on paper without physical substance) for the purpose of capital gains.
As there are real estate rental, sublease, and sales businesses for the purpose of establishing a corporation, it is right that it cannot be seen as speculation if the building is actually rented without immediately reselling it.
What disappointed other internet users is that amidst the controversy, Pledis Entertainment and HYBE remained silent and went on to promote the group without defending or explanation from the artist.
READ MORE: These Idols are Actually Rich Landlords + Own Expensive Buildings
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Written by Eunice Dawson
