JYJ Kim Junsu, the representative of Jeju Toscana Hotel, claimed to file a law suit against “the construction contractors Cheonji General Construction and CJ Construction for embezzlement.”
According to the press release on December 11th, “The evidences were found that two construction companies have exaggerated and embezzled the construction expense which summed up to twice of the actual cost,” said Jeju Toscana Hotel. “(We) would take serious measures through the lawsuit.”
The hotel also mentioned about the fact that the two companies had requested an order for tender payment of 5 billion won and a provisional attachment on property of 1.8 billion won in court which was “a malign attempt to damage the reputation of a Korean pop star based on false claim that (hotel) took out a loan.”
The hotel also said it was true that the hotel wrote a promissory note on August 4th only because of the request from the construction companies that they ‘needed it for financial documentation,’ so the hotel does not have any liability for reimbursement.
Even at that time, the hotel demanded for and received a confirmation document, under concern that the promissory note could be abused for other purpose.
In fact the hotel released the copy of the promissory note, which specified that “The promissory note is for the use of bank or company’s financial document and does not show the actual amount of reimbursement. [T/N: ‘the hotel does not have to actually reimburse the amount’] Hereby [the construction company] shall sign and seal.”
It was said that during the construction of the hotel, Representative Kim Junsu took a loan of 15 billion won from Kookmin Bank and paid back 9 billion won to Nonghyup Bank.
Jeong Hee-won, the attorney of the hotel said “In this process, [the hotel] paid the remaining 6 billion won directly to the construction contractors as a funding for facilities and it is Representative Kim Junsu who is liable for the debt.”
That is, “Representative Kim Junsu does not have any obligation to repay to the two construction companies in the first place.”
“The construction companies are trying to spread out malicious rumors intentionally as the hotel prepares to file a lawsuit on embezzlement of construction expense,” added the advertising executive of Toscana Hotel Park Seong-mi. “What they are trying to do is to manipulate the media under the assumption that hotel would not be able to counteract aggressively because the representative is a well-known pop start.”
She also said “As JYJ’s live tour in Osaka wraps up on December 14th, [the hotel] would file a lawsuit to claim for damages caused by the embezzlement of construction cost.”
Meanwhile CBS Nocut News tried to reach Cheonji General Construction in order to hear their side of story several times but could not get a response.
Translated and shared by: XIAH Press
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