JYJ's Junsu reported to have failed to pay construction fees for his hotel on Jeju Island

Many fans already know about the great Toscana Hotel JYJ's Junsu has been building on Jeju Island, but a recent report by media outlet Jeju Domin Ilbo reported an alarming story in which the idol was claimed to be embroiled in a controversy at the moment for failing to pay 5 billion KRW (~ $4.5 million USD) for the building construction.

The article posted on December 10 stated, "JYJ's Junsu, who has become a hot topic for building on Jeju Island an ultra-luxury hotel in which he invested 28.5 billion KRW (~ $25.5 million USD), is swept away in court dispute on the grounds that he has not paid for the construction costs. There is expected to be a court case in the future and in the chance he loses, he will have to pay and lose as much as 5 billion KRW (~ $4.5 million USD)."

According to the report, Junsu, the head of the Jeju Toscana Hotel, put construction company A and B in charge of completing the hotel from April, 2013 to August, 2014, after which he mortgaged his hotel and land to get funding from the National Agricultural Cooperative Federation to pay for the construction.

However, during the investment process, the promissory note (IOU) issued by the Korea Exchange Bank expired; if he were unable to repay the costs, Junsu would verge on a bankruptcy crisis, so he asked the two construction companies to lend him funds.

Construction companies A and B received promissory notes (IOUs) saying that they will be repaid by September 30, so they lent Junsu 1.8 billion KRW (~ 1.6 million USD) and 3 billion KRW (~ 2.7 million USD) respectively.

However, the promised due date for Junsu's repayment elapsed with no word from him, much less the expected payment. Multiple times, the two construction companies asked Junsu to pay them back, even sending him a notice on October 23 that got no response.

On top of that, A demanded 286.1 million and B 561.22 million KRW. Finally, the two companies requested an payment order amounting to 5 billion KRW. In addition, A requested for the provisional seizure of the building in question for the 1.8 billion KRW (~ $1.6 million).

On November 17, the Jeju District Court accepted the request for the payment order as well as the seizure order after deciding it was reasonable. Nine days later, Junsu submitted a statement of protest. A portion of the hotel's land and facilities were seized and Junsu was revealed to currently be preparing his response with a detailed statement.

The newspaper got in touch with Junsu's father who is in charge of hotel management. He said, "Those are one-sided claims from the construction companies. We've raised an objection and are planning to take legal action against them. It is true that we received a loan from the National Agricultural Cooperative Federation, but the construction companies never lent us money. We did write them IOUs, but we have proof that we did not borrow from them. We can't indicate our stance at this moment and the decision will be made in court later.

Currently, through an expert, we are looking into and taking into account whether the construction was done and the materials used properly. After we finish taking things into account near the end of this month, we will be able to estimate the cost of construction."

Junsu's agency, C-JeS Entertainment, told CBS No Cut News on December 10, "We have not yet seen the article in question. This is the first we've heard of it. We will deliver our position after examination."

You can check out a video Junsu had made for his hotel below.