HYBE's chief operating officer Kim Tae-ho responds to lawmakers' questions during the comprehensive audit of the Ministry of Culture, Sports and Tourism at the National Assembly in Yeouido, Seoul, Thursday. Newsis

HYBE, the agency behind global K-pop sensations such as BTS, came under fire during a National Assembly audit for drafting provocative industry trend reports containing harsh comments about the physical appearance of underage idol group members.

Allegations of questionable album sales tactics, referred to as "album bulk-buying," were also raised, along with accusations of concept plagiarism involving HYBE's sublabels.

During the audit held by the National Assembly's Culture, Sports and Tourism Committee on Thursday, Rep. Min Hyung-bae of the opposition Democratic Party of Korea questioned Kim Tae-ho, HYBE's chief operating officer (COO) and CEO of its subsidiary, Belift Lab, about the company's controversial internal practices.

Min unveiled an internal HYBE document titled "Weekly Music Industry Report," which included industry trend reviews.

The report contained phrases such as "They debuted the members at an awkward age, none of their features stand out," "Their plastic surgery was overdone," and "Other members are shockingly unattractive."

The specific idols or groups referenced were redacted, and the source of these remarks was not disclosed or further questioned during the session. These reviews are compiled weekly and shared with high-ranking executives within HYBE and its sublabels.

Min condemned the contents, "These evaluations and derogatory expressions are directed at minors, showcasing an inhumane perspective on idols."

He further noted that such conduct violates the related laws and the culture ministry's guidelines for safeguarding the rights of children and adolescents in the entertainment industry.

In response, Kim said that HYBE closely monitors public opinion about its artists and the K-pop industry but added that "these evaluations are not the company's official stance."

He noted that the report is a compilation of various opinions found online. Culture Minister Yu In-chon, who was present, also expressed concern, saying, "The expressions are too harsh. It's excessive, especially considering employees and their families may see these documents."

Ador's girl group NewJeans, top, and Belift Lab's girl group ILLIT / Courtesy of Ador and Source Music

'Chart manipulation' controversy

Min also accused HYBE of using questionable tactics to inflate album sales figures. He revealed data showing that the company had sold albums under a "returnable" condition, artificially boosting first-week sales (known as "initial charting") by between 70,000 and 200,000 additional units. These inflated figures were used for promotional purposes, with the unsold albums later returned.

Kim confirmed that such "returnable" sales had taken place twice last year but insisted that they were an insignificant portion of total sales. He added that these actions were not company policy but the result of decisions made by lower-level staff and that guidelines have since been established to prevent such practices from recurring.

Minister Yu voiced his concerns regarding HYBE's practices, stating, "HYBE is no longer just a domestic company; it's an international entity, and it should avoid such actions."

Plagiarism allegations regarding NewJeans

Questions were also raised during the audit concerning the alleged concept of plagiarism between HYBE's sublabels.

Belift Lab, which houses the girl group ILLIT, was accused of copying the concept of another HYBE label group, NewJeans, which had been developed under the leadership of former Ador CEO Min Hee-jin.

Kim denied the plagiarism claims, saying, "The allegations are unfounded." He noted that a civil and criminal lawsuit has been filed against former Ador CEO Min, and the company is awaiting the court's ruling on the matter.

Seen in this photo are copies of a K-pop band's new album, allegedly discarded on the streets of Shibuya, Tokyo, posted by a Japanese user on social media platform X on May 30. Captured from X

This article from the Hankook Ilbo, the sister publication of The Korea Times, is translated by a generative AI system and edited by The Korea Times.