YANG HYUN SUK: Back in court over luxury watch smuggling case

Shawn 28 June 2025 3 min read

YANG HYUN SUK (YG Entertainment) is heading back to court for the first time in six months over allegations of luxury watch smuggling.

The 11th Criminal Division of the Seoul Western District Court will hold the third trial of YANG HYUN SUK on July 4, in a case concerning aggravated violations of the Customs Act, under the Act on the Aggravated Punishment of Specific Economic Crimes.

The Busan District Prosecutors’ Office indicted YANG HYUN SUK without detention in September 2024, accusing him of smuggling two luxury watches worth a total of 828 million KRW (approx. €560,000 / $600,000) through Incheon International Airport in September 2014, without declaring them to customs.

YG Entertainment expressed deep regret over the indictment, claiming it was a rushed decision made just before the 10-year statute of limitations expired. The agency stated that YANG HYUN SUK had fully cooperated with investigations in 2017 and had even voluntarily submitted the watches in question.

Key Disputes in Court:

Prosecutors allege that YANG HYUN SUK requested the watches in March 2014, traveled to Singapore in September, received two watches worth 241 million KRW, wore them during an investment event, and then brought them back into South Korea undeclared.

The prosecution is relying on:

Testimony from the Asia regional director of Richard Mille,
TV footage showing YANG HYUN SUK wearing the watches,
And the fact that the watches were released in September.

On the other hand, YANG HYUN SUK’s defense team denies all charges, arguing that there is no concrete evidence proving he was in possession of the watches when he re-entered Korea. They claim the watches were handed to him domestically for promotional purposes, worn briefly at the request of Richard Mille, and later returned.

The lawyer emphasized that YANG HYUN SUK has worn up to six different watches over the years, always for promotional reasons. He argued that the legal criteria for customs violations are not met because:

There is no proof both watches were imported at the same time.
The individual value of each item does not clearly meet the threshold (200 million KRW) for aggravated charges.
The actual value, purchase details, and payment records are vague or missing.

He added that the case is based on limited evidence, rushed testimony changes, and a sped-up legal process. The case reportedly gained traction after a Richard Mille employee was caught in 2017 bringing undeclared watches into Korea. Some of those items were allegedly worn by YANG HYUN SUK. At that time, YANG HYUN SUK voluntarily turned in three watches.

One key witness, the Asia director for Richard Mille, was banned from leaving Korea in June 2025 due to this case, as the statute of limitations is set to expire around mid-September.

Legal Context – Korean Customs Act (Article 241)

Anyone importing goods must declare the product name, specifications, quantity, value, and other legally required information.
Failure to declare can result in:
- Up to 5 years of imprisonment, or
- A fine equal to 10 times the customs duty or the value of the goods, whichever is greater.
If the goods are worth between 200 million and 500 million KRW, aggravated penalties apply under the Act on the Aggravated Punishment of Specific Economic Crimes.