Happy Face Entertainment will be taking legal action against malicious comments.

The label announced:

Hello, this is Happy Face Entertainment.
We are writing an official statemnet on the rumors surrounding our label artists. Recently, Happy Face Entertainment filed a suit at the Seoul Gangnam Police Distrcit's Cyber Investigations Unit against one netizen who spread rumors with the intent to defame our artist, and defamed their character. Happy Face Entertainment will take strict measures against actions that spread false rumors and defame our artists' charactesr. We will actively monitor portal sites, various online communities, and SNS so that rumors are not spread.
We thank fans for being concerned. We will take action so that this does not happen again and that our label artists' rights are protected.
Thank you.

The label is home to Dream Catcher, the pre-debut group HNB, and Dal Shabet.