BTS agency HYBE reacts after initiating audit of ADOR's management including CEO Min Hee-jin

BTS agency HYBE has initiated an audit of its label ADOR, including CEO Min Hee-jin. As per Soompi, HYBE has also commented after taking the step. ADOR is HYBE's label that Hee-jin founded in 2021. ADOR also founded NewJeans. While HYBE has an 80 per cent stake in ADOR, the remaining 20 per cent is held by ADOR management and Hee-jin. (Also Read | Furious BTS Army demand K-media to apologise for claims of who ‘built up’ HYBE)

HYBE's audit of ADOR

On Monday, South Korean industry representatives reported that HYBE initiated the audit after finding that ADOR has attempted to become independent. Reportedly, HYBE then called for a shareholders’ meeting to hold the ADOR management accountable.

The meeting was also held to appoint an additional ADOR director from HYBE. Both the current directors of ADOR had joined the company with Hee-jin when they moved from SM Entertainment.

HYBE seeks resignation of Hee-jin

In addition to this, HYBE reportedly also sent a document asking for Hee-jin’s resignation as the CEO of ADOR. Replying to the reports, HYBE said, as quoted by Soompi, “It is true that an audit was initiated.”

HYBE's recent deal

This comes days after HYBE announced an expanded 10-year deal with Universal Music Group, including exclusive distribution rights for its artists' music. "Universal Music Group will exclusively distribute physical albums and digital music released by labels under HYBE to the global market for the next 10 years," HYBE said, as reported by AFP.

The deal applies not only to "existing labels but also to new labels to be incorporated under HYBE" in future, it said. "Universal Music Group is to also support promotion and marketing of HYBE artists' activities in North America," it added. The announcement follows HYBE and UMG's initial collaboration in 2017 on BTS, through a distribution agreement in Japan.