What Min Hee-jin's breach of trust clearance means for her, NewJeans

Former Ador CEO Min Hee-jin attends a press conference in Seocho District, Seoul, April 25, 2024. Korea Times photo by Park Si-mon

Min Hee-jin, the ousted former CEO of Ador, has been cleared of breach of trust allegations filed by HYBE, reigniting debates over her future and the uncertain status of NewJeans, the chart-topping girl group she helped create.

In a statement released Tuesday, Min’s legal team said "the breach of trust allegations filed by HYBE in April last year were found to lack sufficient grounds for criminal charges," adding that the police concluded their investigation after determining there was "no evidence of wrongdoing."

This follows a year-long probe that began after HYBE accused Min of attempting to seize control of Ador, a subsidiary in which it holds an 80 percent stake. Min denied the allegations.

In response to the decision, HYBE announced it would file an appeal with the prosecution.

"Following the police investigation, new developments have occurred, including the NewJeans members' declaration of contract termination, and numerous new pieces of evidence have been submitted in related court proceedings," the label told reporters the same day.

Min was dismissed from her position at Ador in August 2024. Three months later, all five NewJeans members unilaterally announced contract termination with the company, citing Min's removal and calling for her reinstatement.

In December, Ador — under new CEO Kim Ju-young — filed a suit with the Seoul Central District Court seeking confirmation that the members' exclusive contracts remained valid, and separately requested an injunction to prohibit the members from engaging in independent activities.

In March, the court ruled in favor of Ador, granting the injunction and dismissing the members' objections. The five NewJeans members made their last public appearance on March 23 at ComplexCon in Hong Kong, where they performed their new song "Pit Stop" and announced a suspension of group activities following the court decision.

The five members of NewJeans, from left, Hanni, Minji, Hyein, Haerin and Danielle, speak to the press after attending a court hearing on March 7 at the Seoul Central District Court over Ador's injunction request to prohibit the group from signing independent endorsement deals. Newsis

Tuesday's police decision prompted renewed speculation about the future of Min and NewJeans, with some suggesting the ruling could represent a turning point after months of legal turmoil.

The breach of trust charge had formed the basis of HYBE and Ador's decision to oust Min. With that charge now dismissed, it could strengthen the members’ claims that Min’s dismissal was unjustified.

However, industry experts say the situation remains far from resolved.

Speaking with The Korea Times Wednesday, attorney Chong Kyong-sok of the LIWU Law Group characterized the police decision as a "draw" between Min and HYBE.

"This outcome alone is unlikely to significantly affect the final resolution," Chong said. "Although the police declined to refer the case for prosecution, HYBE's appeal means the matter will now be reviewed by the prosecution. It is premature to interpret this as a definitive win for Min."

The attorney also emphasized the importance of the civil proceedings, noting that the breach of trust case is a criminal matter subject to strict standards, whereas the remaining dispute revolves around shareholder agreements and contract terms.

"What really matters now is the shareholder agreement confirmation suit, which is a civil case," Chong said. "Because the criminal complaint involves potential punishment, it is evaluated with a stricter lens. But the unresolved legal conflict between Min and HYBE is now largely civil."

Chong also expressed his personal skepticism regarding the notion that the ruling improves NewJeans' legal position.

"The breach of trust case is separate from the question of unjust dismissal. HYBE provided Min with the opportunity to continue working with NewJeans. Ultimately, it was Min who declined that," Chong said.

"The termination of Min's CEO position was based on the shareholder agreement and does not automatically void the members' contracts with ADOR. That has also been the basis for the courts' decisions so far. It remains the case that NewJeans is in a legally unfavorable position."

A K-pop industry insider at a major agency, speaking on condition of anonymity, offered a sobering assessment.

"Everyone's image has taken too much damage for this to be a win for anyone. In the idol industry where image is everything, this ongoing dispute benefits neither Min Hee-jin, HYBE nor NewJeans. I think its continued presence in news headlines is doing harm to K-pop as a whole," the official said.