Within the age of post-Lee Soo Man, SM Leisure faces new ‘inside corruption’ suspicions with the return of a ‘hidden huge shot’ – thqaftqlm

Within the age of post-Lee Soo Man, SM Leisure faces new ‘inside corruption’ suspicions with the return of a ‘hidden huge shot’

Monetary media shops have raised new allegations of “inside corruption” at SM Leisure because it enters the primary month of its post-Lee Soo Man period. This time, the inner corruption suspicions come not by the hands of Lee Soo Man; they contain Jang Jae Ho, Chief Gross sales Officer (CSO) of SM Leisure.

Jang Jae Ho, who was appointed to his place as CSO at SME by his shut good friend Lee Sung Soo (former CEO of SM Leisure, at present Director of Producing), left the corporate in October of final 12 months after encountering battle with the then head producer, Lee Soo Man. Then, precisely a day after HYBE introduced its resolution to drag out of the acquisition battle on March 13, Jang Jae Ho instantly resumed his place as an inside director. 

Suspicions have now been raised that Jang Jae Ho is in actual fact the key participant who allegedly “drove out” Lee Soo Man, “defended” SM from HYBE’s “hostile” acquisition, and returned the corporate to a state of “normalcy” based mostly on self-governance.

Jang Jae Ho first started working at SM Leisure as director of SM Model Advertising in Might of 2021, after being appointed to the place by Lee Sung Soo. Lower than a 12 months later in March of 2022, he was appointed to the place of CSO at SM Leisure. 

Final 12 months, Jang Jae Ho formally started siding with the funding firm Align Companions in making preparations to “take away” Lee Soo Man because the unchallenged head of SM Leisure. Realizing this, Lee Soo Man is alleged to have scolded his nephew Lee Sung Soo a number of occasions for “working with Jang Jae Ho”. Disagreements between the 2 ultimately escalating into Jang Jae Ho’s resignation from his CSO place by October.

However even after his resignation, Jang Jae Ho had a hand within the administration affairs of SM Leisure via a separate consulting contract. It is believed that Jang was the top overseer of SM’s transfer towards “independence” from Lee Soo Man since January of this 12 months, and was even current in negotiations with HYBE and Kakao throughout acquisition talks. 

In the long run, Jang was a key determine in establishing the present administration construction of SM Leisure as of March 31, a construction during which even Kakao can not immediately grow to be concerned within the firm’s administration affairs, regardless of spending some 1.25 trillion KRW (~ $953 million USD) to accumulate SM. 

Now, insiders predict that together with his return as a director at SM Leisure, Jang will start “purging” the corporate of any board members – these at SM Leisure and people holding board positions at subsidiary firms – who could also be inclined to aspect with Lee Soo Man. The purge will come as the primary of Jang’s strikes to deal with the problem of Lee Soo Man’s vital shares in each Dream Maker (24.14%) and SM Model Advertising (42.31%). 

It is also anticipated that for the subsequent three years, all of SM Leisure’s inside administration affairs will seemingly go immediately via Jang Jae Ho and Align Companions. Regardless of being the corporate’s largest shareholder, Kakao at present has little stake within the inside administration affairs, whereas Jang Jae Ho holds vital energy over main selections.

Monetary trade insiders have begun to query whether or not or not SM Leisure’s “independence” advocated by Align Companions was in actual fact only a transition from one central hand (Lee Soo Man) to a different (Jang Jae Ho). 

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