Ministry confirms no cultural bodies penalized for violating the law established in 2014

The South Korean Ministry of Culture, Sports and Tourism has announced a comprehensive registration guidance period for entertainment agencies that are yet to comply with the registration requirements set out by the Act on the Development of the Public Culture and Arts Industry, introduced in 2014. This move comes after the ministry was prompted to take action following reports of unregistered agencies, including Sung Si-kyung's agency.

The registration guidance period, which runs until Dec. 31, aims to give unregistered agencies an opportunity to voluntarily comply with the registration requirements. However, the ministry has stated that it will take enforcement action against agencies that do not register during this period.

Over the years, the ministry has encouraged unregistered agencies to comply with the registration requirements, but these efforts have largely failed to produce results. This is evident as many entertainment companies continue to operate without registration, making a comprehensive investigation difficult.

The 2014 law requires all entertainment agencies to register, and failure to do so violates Article 26 of the law, carrying penalties of up to two years in prison or a fine of 20 million won. It is important to note that registering during the guidance period will not exempt agencies from criminal penalties if they are later found to have violated other provisions of the law or caused harm to the public.

The Act on the Development of the Public Culture and Arts Industry is designed to protect performers and bring transparency to the entertainment sector. With over 5,000 entertainment companies registered nationwide, the importance of this law is clear.

In addition to Sung Si-kyung's agency, Song's Gaindal Entertainment and Kang Dong-won's AA Group, launched in 2024 and 2023, respectively, were also found to be operating without registration.

The ministry has stressed that the registration guidance period is not an amnesty and agencies must still comply with all other provisions of the law. During this period, agencies registering will not be exempt from criminal penalties if they are later found to have violated other provisions of the law or caused harm to the public.

The ministry has not yet announced any plans to extend the registration guidance period beyond Dec. 31. It is hoped that this initiative will encourage more unregistered agencies to comply with the law and bring transparency to the South Korean entertainment industry.

In a related development, Musical actress Ock Joo-hyun's company, TOI Entertainment, founded in 2022, failed to register due to incomplete paperwork and a lack of knowledge of administrative procedures. This underscores the need for clear guidance and support for agencies during the registration process.

Many K-pop stars have also set up their own agencies, including Blackpink's Jennie, Jisoo and Lisa; Super Junior's Donghae and Eunhyuk; Momoland's JooE; and Astro's Rocky. It is expected that these stars' agencies will also be encouraged to comply with the registration requirements during the guidance period.

For 11 years, the Ministry of Culture, Sports and Tourism did not penalize any unregistered entertainment agency, despite a 2014 law requiring registration. However, with this new registration guidance period, the ministry is sending a clear message that it will enforce the registration requirements for entertainment agencies.

There is no publicly available verified information about unregistered talent agencies that have operated unpunished by the Ministry of Culture in the past 11 years. This highlights the need for stricter enforcement of the registration requirements in the future.

In conclusion, the registration guidance period announced by the South Korean Ministry of Culture, Sports and Tourism is an important step towards bringing transparency to the entertainment sector and protecting performers. It is hoped that this initiative will encourage more unregistered agencies to comply with the law and ensure a fair and transparent entertainment industry for all.