South Korean K-Pop company dives 14% amid alleged prostitution scandal

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A member of a leading K-Pop band, Big Bang, was charged in a prostitution scandal. The band's owner YG Entertainment fell on the news.

Seungri of South Korean band"Big Bang" poses with a Samsung Galaxy S3 phone sporting a cover with an image of the band on it during a pre-concert news conference in Singapore.YG Entertainment fell 14% following news that a member of one of its K-Pop groups, Big Bang, was charged in an alleged prostitution scandal.Rival South Korean entertainment companies SM and JYP also fell following the news.

YG Entertainment, a South Korean entertainment company, plunged more than 14% Monday following the news that a member of one of its K-Pop groups, Big Bang, has been implicated in an alleged prostitution scandal at Seoul nightclubs.charged with supplying prostitutes at a nightclub he controls , according to Variety. The singer denied all charges and immediately announced his retirement from show business.

 

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