The head of the Korea distributor for Hoka (HOKA), a popular running shoe brand that rode the running craze, has been embroiled in an assault controversy. The Korea distributor for Hoka is Joyworks&Co., and the company's chief executive is Cho Seong-hwan.
On Jan. 6, Joyworks&Co. said in an apology, "Physical altercations cannot be justified for any reason, and not only CEO Cho Seong-hwan and Joyworks (the major shareholder of Joyworks&Co.) but also Joyworks&Co. itself recognize the seriousness of the matter."
It added, "CEO Cho Seong-hwan is faithfully cooperating with the ongoing judicial process, has conveyed an apology to the party involved, and will responsibly carry out all necessary procedures, including talks for an amicable resolution," and said, "He is also deeply reflecting on having caused public controversy."
It also said, "We will continue to take necessary management and response measures so that management stability and trust among stakeholders are not undermined," adding, "We once again deeply apologize to everyone who was caused concern by this incident."
Earlier, Cho was reported to have summoned subcontractor officials to an abandoned church building in Seongsu-dong, Seongdong-gu, Seoul, slated for demolition, and to have committed assault and verbal abuse. Portions of recordings from the scene were also made public in news reports.
Cho's side claims there was a mutual assault as a warning after subcontractor officials spread false information. The victims received diagnoses including rib fractures and concussion symptoms, and Cho was reportedly diagnosed with a four-week recovery period.
The incident has prompted a consumer boycott of Hoka. On social networking service (SNS) Threads, some criticized that behind the brand that sells "the comfort of walking on clouds" lay horrific profanity and ruthless violence.
Boosted by the popularity of running, Joyworks&Co. posted sales in the 18 billion won range in the first half of last year. Meanwhile, Joyworks&Co. shares closed at 1,758 won, down 6.39% from the previous day. Joyworks&Co. listed on the stock market in 2020 through a SPAC (Samsung Must Special Purpose Acquisition 3).