CreBeau calls SM Entertainment out on “groundless claims”

At the start of November, CreBeau, the company behind TVXQ members Jaejoong, Junsu and Yoochun's cosmetics line, spoke up against SM Entertainment. At that time, Kang Suk Won, the president of CreBeau's Korean branch WishopPlus Inc, threatened, "I will not hesitate to reveal the details of SME’s absurd act to the public and to the court."It looks like Kang just might follow through with this loaded threat - a follow-up interview that was released earlier this week has got fans abuzz once again. The president claimed that SM Entertainment attempted to cover this whole controversy and paint it as some sort of “national fraud.” “SME should stop the media plays and provide concrete evidence behind the harsh yet vague accusations they have been making.” Kang answered some very controversial questions and cleared up much confusion and misunderstanding about the status of the three DBSK members in the business.

#1 SME claimed that the start of November, CreBeau

Why should the members’ private financial investments be regulated by their company? If that’s not intruding upon their basic rights, then what is? We never attempted to use their fame and status for advertisement or profit. Jaejoong, Junsu and Yoochun invested in the business as mere financial investors, as individuals, not as celebrities. Are the members not allowed to make private investments for their future?

#2 SME claimed that the members get a 5% royalty of the profit of CreBeau.

This is ridiculous and ungrounded. SME needs to provide solid evidence to back their claims. We, on the other hand, are ready to reveal any financial records and contracts to defend our position. We also plan to press additional charges of slander on SME for this, on top of the charges of slander regarding SME's claims that the lawsuit was about CreBeau not the alleged slave contracts.”

#3 Representative Kim Young Min of SME claimed that the DBSK members visited China on January 6 of 2009. He said that the members claimed to visit China as a vacation, but instead they participated in the CreBeau China Investment Orientation

SME is bringing this up again, but during January, there was no investment at all from anyone. Therefore, the members didn’t have the status of investor at that time. Additionally, it was only by chance the members were seen there. That orientation was supposed to be private, but when DBSK appeared there, thousands of people suddenly gathered. The pictures they took with the CreBeau representatives at the orientation were spread around on the internet.We have never used the members in advertisements. We even provided measures to prevent the pictures from spreading further on the web. In fact, DBSK’s manager was with them at the orientation. When the members decided to invest in the business, Kim Young Min approved. And now, his attitude has changed 180 degrees all of a sudden.

Because SME spread malicious rumors and sent complaints to the main branch of CreBeau, CreBeau

businesses all over the world have been damaged in terms of trust with the customers and reputation of the business. Up to this point, we hadn't revealed much detail about the lawsuit because it was pending, but SME gives us no choice. We plan to reveal documentary evidence of what SME sent to the main branch of CreBeau. After seeing SME’s outrageous press conference, we now have a solid reason to press additional charges against SME.”