Stock Price Plummets, SM Ent Affirms Not Deceiving Fans

At 10 AM on the 29th, SM Entertainment’s stock was valued at 63,300 KRW, representing a 3.95% decrease (2,600 KRW). This decline in stock price can be attributed to the negative impact on the company’s image caused by NCT member Taeil’s sex crime allegations and subsequent departure from the group. Additionally, management issues have also contributed to the decrease in stock value.

On the 28th of August, SM Entertainment informed TenAsia that both they and Taeil were made aware of the lawsuit in mid-August. Taeil was subsequently questioned by the police on the same day.

According to the Seoul Bangbae Police Station, a report was filed in June regarding Taeil’s alleged sex crime. This has caused controversy among fans who accuse SM and Taeil of hiding the lawsuit while still allowing him to participate in group activities. Despite being absent from music broadcasts due to injuries from a motorcycle accident, Taeil was involved in the recording and filming of NCT 127’s 6th full-length album ‘WALK,’ which was released in July. He also attended the group’s 8th-anniversary fan meeting on the 3rd and 4th of this month.

On the 28th, SM Entertainment announced, “We have been made aware that Taeil is facing a criminal case involving a sex crime. Upon reviewing the situation, we have deemed it to be a serious matter and have concluded that he will no longer be able to participate in team activities. After consulting with Taeil, it has been agreed that he will be departing from the team.”

The statement released by the company stated that Taeil is actively cooperating with the ongoing police investigation. They also mentioned that they will continue to provide updates as the investigation progresses. The company extended their sincerest apologies for any inconvenience caused by their artist.

The source of this information can be found on Daum’s website at https://v.daum.net/v/20240829133801646.