SM denies rumors about NCT members, vows legal action

K-pop powerhouse SM Entertainment on Wednesday denied rumors of inappropriate conduct in Japan by two members of its popular boy group NCT as “entirely untrue.”

The agency announced plans to pursue legal action against those spreading these claims, regardless of nationality.

The rumors, which originated in Japan and emerged on Korean online communities Tuesday afternoon, accused Johnny and Haechan of paying for sex and using drugs while in Japan. The allegations led to a significant drop in SM’s stock price, with shares plummeting by 8.18 percent and closing at 81,900 won (US$59.5) by the end of the trading day.

“These sensational rumors” are “entirely false and constitute criminal acts that severely damage the artists’ reputations,” the agency said.

Noting that not only NCT but also other artists under its management, including Kim Hee-chul of Super Junior, have been targets of baseless rumors and malicious slander, SM said, “We have already gathered sufficient evidence regarding numerous posts related to these matters.

“We will not overlook such criminal acts and will take legal action against those involved without leniency or settlement, regardless of their nationality.”