By Kim Rahn
Shim Hyung-rae, a well-known comedian-turned-film director, is being investigated over allegations involving unpaid wages.
The probe came after the Seoul Southern District Employment and Labor Office referred the case to the prosecution Tuesday.
Shim has been accused of having delayed paying 850 million won in wages to the employees of Younggu Art, a production firm he founded.
The company went under in July due to debt problems.
The probe comes amid growing allegations and rumors surrounding Shim such as embezzlement of corporate funds, the government’s favorable funding to the company, abuse of staff and even offering to pay for prostitutes for policymakers.
“We are now looking into the payment delay claims. We may expand the investigation if petitions are filed over other allegations,” a prosecutor at the Southern Seoul Prosecutors’ Office said.
Prosecutors have asked the Ministry of Justice to impose an overseas travel ban on the filmmaker. “It is too early to say whether we will take legal action or not,” the prosecutor said.
In August, 43 staffers of the production firm filed a petition with the labor office for unpaid wages and Shim was questioned about the matter.
Last month, police summoned several former staffer members and interrogated them about alleged misappropriation of company funds by Shim, who was once touted by the government as a role model for the youth for his innovative ideas.
They also questioned them about the allegation that Shim had three gas guns remodeled to accommodate bullets.
Police are also looking into matters concerning the director.
“We are investigating allegations involving embezzlement, gambling and illegal lobbying of policymakers,” an officer at the Seoul Metropolitan Police Agency said.
During a parliamentary session on Sept. 30, it was alleged that Younggu Art received privileged investment from state agencies.
The production company obtained 3 billion won from the Korea Trade Insurance Corp. and 1.1 billion won from the Korea Creative Content Agency to make “Last Godfather,” which he produced in Hollywood last year, even though the company was not qualified for such investment.
It was claimed in a recent investigative program by MBC that Shim lobbied political heavyweights to land the investment, adding he offered prostitutes to some of them in the process.