1) The head of C-JeS has no ties to gangs whatsoever.
Though his previous conviction is true, it was not a verdict made regarding any ties with gangs. Avex was fully aware of this fact before their contract with the TVXQ trio was signed, and as this cannot be classified as a breach of the exclusive contract, it cannot become a reason to halt activities or cancel the contract.
Several months ago, Avex requested that C-JeS be excluded from the contract for such reasons, and the TVXQ trio agreed to such a request and actively participated in the discussions regarding the renewal of their contract with Avex in order to ensure that they would have smooth activities within Japan.
However, Avex put forth conditions that were unfair to the trio unlike their previous contract, and when the trio refused to accept such conditions, Avex stated the gang ties of the head of C-JeS as a reason for canceling the contract, and finally released an official notice stating that no more activities would occur.
While these details were being discussed, the TVXQ trio continued to diligently carry out all scheduled activities to keep their promise with their fans and worked hard to come to an agreement with Avex.
2) The victims of this situation are the TVXQ trio. Avex attempted to coerce the trio to comply to changes in the contract, but when the trio refused to agree to such conditions, Avex announced a halt in their activities with no regard to the trio's opinions.
Since the signing of the contract with the trio till now, Avex has involved the TVXQ trio in various activities aimed at raising the agency's income such as concerts, Xiah Junsu's solo album, participation in another Avex singer's music video, and the recent 'The...' album.
However, Avex has been putting forth unfair conditions to the TVXQ trio, contrary to what had been done in the past, for the past several months by using the past conviction of the head of C-JeS as a pretext, and when these conditions were rejected, Avex began discussions on canceling their contract and announced a halt in activities in order to corner the TVXQ trio.
This can be seen as Avex taking all the money that they can from the TVXQ trio and then proceeding to create a situation that makes it impossible for the trio to sign on with any other agency in Japan, thus blocking the trio's path with regards to Japanese activities. The TVXQ trio had no intentions of stopping their activities in Japan, and the announcement made by Avex reflected only the thoughts of the agency themselves.
3) Avex has made an illogical statement that the contract between Avex and SM Entertainment regarding the five members of TVXQ is still valid though they would suspend Micky Yoochun, Xiah Junsu and YoungWoong Jaejoong's contract.
Regarding this, Micky Yoochun, Xiah Junsu and YoungWoong Jaejoong stated that, "First of all, we are extremely sorry to have to bring our fans such news. Though we actively participated in discussions with Avex in order to come to an agreement, it is regrettable that an announcement to halt our activities in Japan had to be made. Due to this situation, we can't shake the feeling that Avex used the three of us as money making tools rather than treating us like artistes." They also stated, "We feel frustrated that we cannot promise our Japanese fans another meeting in the near future. We need active support and interest from our fans in order to resolve this situation. We hope to resume our activities in Japan and meet our fans again as soon as possible."
Lawyer Lim Sang Hyuk of Sejong, the legal representative of the TVXQ trio, stated, "It is immoral to back the TVXQ trio, some of Korea's most representative Hallyu stars, into a corner just because they cannot fulfill a company's greed. We will work hard to resolve this situation and allow the TVXQ trio to resume their activities in Japan."