On March 26, 2025, Maeil Business Newspaper announced that Burning Sun Entertainment, known for its association with the controversial Burning Sun Nightclub in Gangnam, Seoul, has declared bankruptcy. This decision follows the initiation of simplified bankruptcy proceedings in District 13 of the Seoul Bankruptcy Court, which officially began on March 18, 2025, under the supervision of Judge Kang Hyun-gu. Such proceedings occur when a debtor’s asset valuation falls below 500 million KRW (approximately $341,000).
Launched on February 23, 2018, amidst the luxurious surroundings of Le Méridien Seoul, the Burning Sun nightclub quickly gained fame as a premier nightlife destination, known for its opulent facilities and vibrant atmosphere. Often referred to online as “Seungri’s Club,”due to co-ownership by former BIGBANG member Seungri, the establishment became a focal point for scandal, drawing significant public attention.
Exploring the Burning Sun Scandal: A Deep Dive into South Korea’s Major Sexual Crime Controversy
The Burning Sun scandal erupted in early 2019, bringing to light allegations of a wide-ranging network of illegal activities that implicated various celebrities and affluent figures within South Korea’s entertainment ecosystem. Positioned as the “finest club in South Korea,”Burning Sun featured electronic dance music (EDM) and hip-hop arenas alongside an impressive 60 VIP tables, which attracted a wealthy clientele.
The club first made headlines on November 24, 2018, when an incident involving a patron, Kim Sang-kyo, and club personnel drew public scrutiny. Kim reported an assault by club staff, alleging police negligence regarding the matter.
On January 28, 2019, the incident took a dramatic turn when MBC Newsdesk aired footage of the altercation, igniting public outrage and prompting a deeper media investigation into the operations at Burning Sun.
The situation escalated on February 26, 2019, when SBS FunE revealed KakaoTalk chat records implicating Seungri in procuring prostitutes for VIP patrons at his establishments. A 2024 BBC documentary further uncovered how club personnel targeted intoxicated women to bring into a so-called “VIP Red Room.”
On March 11, 2019, a whistleblower’s evidence led Attorney Bang Jung-hyun to disclose incriminating KakaoTalk transcripts, which included admissions by Jung Joon-young of raping two victims and sharing recordings in a chatroom. Just days later, on March 27, police summoned Seungri and Jung Joon-young for questioning. Jung confessed to clandestinely recording sexual acts involving incapacitated women and admitted to gang rape, thereby igniting a significant investigation into the notorious KakaoTalk chatroom activities.
By November 29, 2019, Jung was found guilty of gang rape, possession of sexual imagery obtained without consent, and other related charges, receiving a six-year prison sentence that was later modified to five years upon appeal. He was released on March 19, 2024.
The Who’s Who of Burning Molka: A comprehensive list of the names involved by u/alleybetwixt in kpop
In March 2019, a comprehensive investigation into the scandal was ordered by former President Moon Jae-in, resulting in inquiries into several other K-pop stars, including FTISLAND’s Choi Jong Hoon and HIGHLIGHT’s Yong Jun-hyung. By August, a former police officer associated with Burning Sun was sentenced for colluding with the club to overlook underage admissions.
As of January 2020, prosecutors indicted nine individuals, including Seungri, for various infractions, including the facilitation of prostitution and habitual gambling activities. Seungri faced numerous charges linked to prostitution mediation, embezzlement, and illegal gambling in Las Vegas.
Seungri enlisted for mandatory military service in March 2020, leading to a transfer of his trial to a military court. He largely denied the allegations against him, acknowledging only a violation of the Foreign Exchange Transaction Act. Yang Hyun-suk, former head of YG Entertainment, also faced fines for gambling-related offenses tied to the scandal.
In December 2020, Yoo In-seok, the former CEO of Yuri Holdings and co-owner of Burning Sun, received a suspended sentence after pleading guilty to charges of prostitution mediation and embezzlement. Following a turbulent series of events, in August 2021, Seungri was ultimately sentenced to three years in prison and fined 1.15 billion KRW (approximately $785,039.20). His sentence was later reduced to 18 months upon appeal, culminating in his release on February 9, 2023.
In 2024, a BBC documentary delved into the extensive investigation surrounding the Burning Sun scandal, sharing the impact on victims, the nature of the crimes, and critical insights. View this thought-provoking documentary on the BBC’s YouTube channel for a fuller understanding of this complex case.