YG Entertainment's founder and chief producer Yang Hyun-suk has announced that he would be resigning from his position following the drug and sex allegations that shaken his company.

Yang released a statement on Friday, June 14, announcing his resignation. “I’ve dedicated the last 23 years of my life to YG Entertainment. It was my biggest pleasure to support the best artists and music and the only gift I can give to society and fans. From today however, I’ve decided to step away from all responsibilities and positions at YG," Yang said in a statement published by Soompi website.

He added, "I sincerely hope that there is no further harm to the YG agency celebrities I love, and to the fans who love them, because of me."

The K-pop mogul's announcement was released following the report by KBS that Yang tried to silence the person who provided illegal drugs to one of his artists.

Yang's brother and YG's CEO Yang Min-suk also announced that he is stepping down from his position. He said, "In order for [the company] to solve these current difficulties, grow, and prepare for a new breakthrough, I believe a big change is needed. And in order for there to be no misunderstandings regarding Yang Hyun Suk’s decision to step down, I think there needs to be a clarification on my part. After careful consideration in the midst of these situations, I have decided to resign from my long-held position of CEO at YG Entertainment."

Two of YG's top artists have been involved in controversies in recent months.

Big Bang's Seungri was accused recently of providing prostitutes to investors of his nightclub. Following the allegations, he announced his retirement from show business last March.

BIGBANG’s Seungri announces retirement amid alleged scandals and controversies

Another YG Entertainment talent was also involved in a scandal this June. B.I announced his departure from iKON after allegations that he attempted to purchase illegal drugs in 2016.