ADOR Extraordinary General Meeting of Shareholders to be held on the 31st of this month
ADOR’s Board of Directors decides to hold a shareholder meeting
ADOR, which is in conflict with its parent company HYBE, will hold an extraordinary shareholders’ meeting.
“Today, the board of directors resolved to hold an extraordinary general meeting of shareholders on 31 May, with all members, including the auditor, present,” ADOR announced on Tuesday, adding that “the agenda of the extraordinary general meeting was approved as requested by HYBE.”
According to unofficial information received by ADOR, CEO Heejin Min and the ADOR Board of Directors held a board meeting that morning at Mocher in downtown Seoul.
The ADOR board currently consists of Min, Vice President (VP) Shin, and Senior Creative Director Kim. HYBE, which conducted an audit and filed a police complaint alleging that Min and other ADOR employees were attempting to seize control of the company, claimed that the board members were “Min Hee-jin’s bypassing forces (army).
HYBE, which holds 80 per cent of ADOR’s shares, had planned to convene an extraordinary shareholders’ meeting to consider Min’s dismissal. In response, Min’s camp announced its intention to hold a board meeting on the 30th of last month at the Seoul Western District Court to decide whether or not to call an extraordinary general meeting, and then hold the meeting by the end of this month.
Conflict continues before the board meeting
The conflict between HYBE and ADOR continued ahead of the board meeting.
“HYBE’s audit team began an audit of ADOR’s Style Directing Team Leader at 7pm on the 9th, after business hours,” ADOR said in a statement on the 10th.
“The audit continued for over five hours and until after 0:00 a.m. (midnight) on the 10th,” ADOR said.
“The audit team went beyond the scope of their duties by following the member to his home and demanding his laptop, as well as his personal mobile phone, which does not belong to the company,” the complaint states.
“They also abused their audit authority by making very serious threats, such as ‘if we don’t cooperate, we will have to go to the police station,’ and engaged in extraordinary behaviour that put psychological pressure on our employees,” the complainant added.
HYBE calls legitimate audit process violence, HYBE calls it absurd
HYBE’s response is outrageous.
“To take a legal audit process and claim it is ‘illegal’ shows a complete lack of basic legal knowledge,” HYBE said, adding, “We will be releasing a position statement with the exact facts soon.”
Some K-pop industry insiders predicted that even if an extraordinary shareholder meeting is held, Min’s removal will not be decided this time.
Earlier, Min filed a preliminary injunction against HYBE, stating that she should not be allowed to vote in favour of the removal proposal.
The injunction requested that HYBE be prevented from exercising its voting rights on the proposal to dismiss Min. Min’s representatives explained that this is to “protect ADOR’s artist (NEWJEANS) and ADOR’s corporate values.”
The preliminary injunction paper is due on the 17th of this month. As there has been no ruling on the case, the court’s decision will determine where Min will live.
