Cha Ga-won, CEO of Wonha Red, Sent to Prison Over 300‑Billion‑Won Fraud

Cha Ga-won, the head of the entertainment agency Wonha Red (원헌드레드), was placed in custody and transferred to the Seoul Central District Court on charges of fraud amounting to roughly 300 billion won. Police allege that he used the intellectual property rights of the agency’s artists to propose a joint venture with the company Nomus, received an advance payment of about 242 billion won, and then failed to carry out the promised business. Investigators say he concealed existing contracts with other firms, entered a double‑contract with Nomus, and used a contract‑splitting scheme to mask large debts. The court issued a detention warrant citing concerns over possible evidence destruction. Cha denies the accusations, claiming the allegations stem from a hostile takeover attempt.

The case was handled by the Financial Crime Investigation Unit of the Seoul Metropolitan Police and filed under the Specific Economic Crimes Aggravated Punishment Act. The arrest highlights growing scrutiny of financial misconduct within South Korea’s entertainment sector.