According to media outlet 'Kuki News' on June 4, YG Entertainment's head producer Yang Hyun Suk may be facing suspicions of tax evasion surrounding two of his night clubs operating in Hongdae and in Gangnam. 

According to 'Kuki News', Yang Hyun Suk previously expanded his Hongdae club known as 'NB' to 'NB1' and 'NB2' in 1999. Various YGE artists are known to have performed at this club, and Yang Hyun Suk himself has also performed as a DJ.

After opening up a new location in Gangnam in 2004, 'NB' changed its name in January of 2015 to 'Toto Gayo'. Both locations garnered attention as "night clubs owned by Yang Hyun Suk".

However, 'Kuki News' claims that Yang Hyun Suk's name is not listed as the owner of either club locations in Hongdae or Gangnam in any legal documentation. Despite this, one insider alleged, "Since the club opened and up until now, every time the club balanced its revenues, a large amount of cash was passed over to Yang Hyun Suk. The amount of cash that Yang Hyun Suk made in the past from such transactions is probably enormous."  

Furthermore, the insider added on that Yang Hyun Suk may have eliminated evidence regarding the above allegations of tax evasion after witnessing events unfold in the 'Burning Sun' incident. The insider said, "When they saw that what started the entire 'Burning Sun' investigation was simple 'Kakao Talk chat room conversations', they began to take measures including switching out mobile phones and various electronic devices. I heard that they've prepared new version of the club's revenue reports in preparation for tax audits." 

Rather than being operated under Yang Hyun Suk himself, both clubs in Hongdae and Gangnam are reportedly listed as under a company named CD&E, owned by Yang Hyun Suk and his brother. 

Meanwhile, back on May 27, MBC program 'Straight' raised additional allegations against Yang Hyun Suk by claiming that prostitutes were present at a gathering hosted by Yang Hyun Suk back in 2014.