According to media outlet reports on August 10 KST, drama production company RaemongRaein has filed a lawsuit against actor Lee Jung Jae for fraud. In response, the software development company Artist United, whose largest shareholder is Lee Jung Jae, has countersued RaemongRaein for fraud as well as false accusations.

According to Kim Dong Rae, CEO of RaemongRaein, Lee Jung Jae offered various opportunities for company growth in exchange for the acquisition of RaemongRaein's stocks, including mergers with major entertainment management labels, opportunities to utilize Lee Jung Jae's large network, plus investments from a major American talent agency.

However, Artist United claims differently, stating that the investors (Lee Jung Jae and Artist United) legally agreed to an investment contract during a time when RaemongRaein was suffering from financial difficulties. Although the investors paid the price for the issuance of new stocks and fulfilled their end of the contract, Kim Dong Rae refused to transfer the company's management rights, as previously agreed. Furthermore, when the investors filed a request to hold a shareholder's meeting in June of this year, Kim Dong Rae convinced 12 minority shareholders to pursue legal action against Artist United for acquiring RaemongRaein's shares through deception. 

Regarding the ongoing lawsuit, Lee Jung Jae's side commented, "It is absurd that Kim Dong Rae, who failed to fulfill his end of the contract even after the investors diligently fulfilled theirs, has sued our company."

SEE ALSO: 'Squid Game’ Season 2 to premiere on Netflix December 26th following global debut