South Korean actor Kim Soo Hyun faces a major financial setback as one of his luxury apartments has been seized by court order. The seizure follows his failure to pay a penalty fee of ₩3 billion KRW ($2.2 million USD) to cosmetics company Classys. The legal action stems from a contract dispute linked to the ongoing scandal involving late actress Kim Sae Ron.
The Seoul Eastern District Court approved the seizure on May 20, granting Classys’ request filed on May 8. The targeted property is part of Kim Soo Hyun’s three high-end units in Galleria Forêt, a luxury apartment complex in Seoul’s Seongdong District. The seized unit, purchased in 2013 for ₩4.02 billion KRW, spans 217 square meters.
Kim Soo Hyun’s legal team at LKB & Partners called the seizure unfair, arguing he is a victim of false allegations spread by Garo Sero Institute (HoverLab), a controversial YouTube channel. They claim the advertiser’s losses were caused by defamatory reports, not the actor’s actions.
“Kim Soo Hyun is a victim of a crime by HoverLab. The penalty should go to the perpetrators, but Kim’s the one being blamed even though he’s a victim, just because he’s the one bound by the contract.”
The dispute began when Classys terminated Kim’s advertising contract after he was accused of having an inappropriate relationship with Kim Sae Ron while she was a minor. Kim denied the allegations, stating their relationship started in 2019, after she turned 19 (legal adult age in Korea).
Kim Soo Hyun’s legal team has filed multiple lawsuits against Kim Se Ui, CEO of Garo Sero Institute, including a ₩12 billion KRW ($8.8 million USD) defamation case. On June 9, a Seoul court approved the seizure of two properties owned by Kim Se Ui as part of the lawsuit.
The actor owns three units in Galleria Forêt, bought between 2013 and 2014, with a combined estimated value of ₩30 billion KRW ($22 million USD). The seized apartment is the 2013 purchase, while Classys initially targeted a 2014 unit.
Kim’s legal troubles have impacted his career. His upcoming Disney+ series “Knock Off” has been postponed, and several brand deals have been suspended. Meanwhile, Garo Sero Institute continues to face scrutiny after a whistleblower admitted to fabricating an audio recording of Kim Sae Ron.
“The recording appears to have been created using AI-generated voice technology. I was stunned by how far AI has advanced.” — Lee Jin Ho, journalist-turned-YouTuber, exposing the fake evidence.
Kim Soo Hyun’s agency, Gold Medalist, maintains that all allegations are false. They submitted forensic evidence disproving manipulated KakaoTalk messages and photos presented by Garo Sero. The legal battle is expected to prolong as both sides pursue further claims.
The seizure of Kim’s apartment highlights the financial risks celebrities face when embroiled in scandals. Advertisers often include “morality clauses” in contracts, allowing them to demand penalties if a star’s reputation is damaged.
Kim’s legal team insists he will prove his innocence in court. Meanwhile, Kim Se Ui faces his own legal troubles, including charges of defamation, privacy violations, and spreading fake evidence.
The controversy has sparked debates over media ethics and the use of AI-generated fake content in legal disputes. Fans and legal experts await further developments as the cases proceed.
Source: Maeil Kyungje
