Yoo Jae-hwan’s Composition Fraud Case Reaches Supreme Court: Victims Left Uncompensated as Social Media Trails Go Cold

Composer Yoo Jae-hwan has been handed over to prosecutors but will not be detained, facing accusations of fraud.

The Seodaemun Police Station in Seoul stated on the 8th that they released Yoo Jae-hwan to the Seoul Western District Prosecutors’ Office without holding him in custody in March.

Yoo Jae-hwan is alleged to have committed fraud by claiming 1.3 million won under the pretense of labor costs in March 2022, even though he stated at the time that he would compose for free during the initial stage of the composition project.

In late May of last year, Victim A lodged a complaint against Yoo Jae-hwan alleging fraud. The victim claimed they made a deposit as instructed; however, Yoo Jae-hwan proceeded with the recruitment for the second phase without finishing the initial stage.

In August of last year, an additional 23 victims filed lawsuits against Yoo, accusing him of fraud. They alleged that he employed a ‘rotating method’ where he received payments upfront but delivered the same song to multiple clients, which was previously released for another customer.

Yoo Jae-hwan allegedly received 55 million won under the pretense of production expenses.

In reply, Yoo Jae-hwan said, “I genuinely apologize to everyone who experienced losses because of my careless actions. While it’s true that I had some health issues compounded by various personal matters, I did not intend to inflict financial harm. So far, we’ve made every effort to return the funds, and for further reimbursement needs, kindly reach out to us individually. After verifying the details, we assure you that full compensation will be provided.”

The Gangseo Police Station in Seoul opted against forwarding the case in January because there was insufficient evidence.

Yoo Jae-hwan replied, “Due to my actions, those who supported me by applying for a free songwriting project with high hopes, as well as those who assisted me during tough times and believed they were owed something from me—I will repay everyone. Regardless of what kind of venture it might be or even within the realm of the music industry, I am committed to gathering the necessary funds without any expense and returning them to each person.”

Nevertheless, the victims banded together and objected, leading to the case being ruled as distinct and handed over for prosecution. It’s noted that Yoo Jae-hwan hasn’t compensated the victims, and his social media accounts have been shut down.