A tax case involving Park Jae-hyuk, better known as Ruler, has become one of the biggest stories in esports this week. The South Korean Tax Tribunal has ruled against the star player, and the League of Legends Champions Korea (LCK) has started its own investigation.
Ruler, a professional League of Legends player and the main bot laner for Gen.G, is one of the most successful players in Korea, with multiple titles and international wins. He also won a gold medal at the 2022 Asian Games, which gave him exemption from military service.
The case is about how Ruler handled some of his income between 2018 and 2021. South Korea’s National Tax Service (NTS) reviewed his finances and said he used two methods that reduced the amount of tax he had to pay. Here’s the full timeline on the case:
First issue: Paying his father as a “manager”
Ruler paid money to his father and claimed it as a work-related expense. But the tax authorities said this did not count as a valid expense.
That is because pro players like Ruler are already managed by their teams. For example, a team like Gen.G usually handles schedules, travel, and contracts. Also, there were no proper documents showing that his father actually worked as a manager.
Second issue: Using his father’s name for investments
The second problem involved investments like stocks.
Ruler reportedly placed some investments under his father’s name. This meant that any profit from those investments was taxed under his father’s income level, which was lower.
The NTS said this arrangement had no clear reason other than saving tax. Because of that, they treated it as a “gift” from Ruler to his father and added extra tax under gift tax rules.
Tribunal decision: Appeal rejected
Ruler challenged the tax decision, but on March 31, 2026, the Tax Tribunal, a government body, fully agreed with the tax authorities. This means the payments to his father cannot be treated as expenses and the investment setup is treated as a taxable gift.
However, this is not a criminal case. It is a civil tax matter, meaning it is about paying the correct amount of tax, not going to jail.
Ruler’s agency, SUPERGENT, said the issue was not intentional. According to them, the issue happened because of poor administrative handling, not because of any fraud. They say it was a mistake or mismanagement, not something done on purpose.
They added that the extra gift tax has now been fully paid, showing that they have corrected the mistake. Lastly, they said all investments are now back in Ruler’s own name, and everything has been set right.
Why is the LCK involved?
The League of Legends Champions Korea has strict rules about player behavior, including financial matters. Because of this case, the league has started reviewing the situation.
The LCK rulebook allows the league to take action against players or participants even if they haven’t been officially found guilty in court. If there is suspicion of tax law violations or if an investigation is ongoing, the league can still step in.
If the LCK believes someone’s situation harms the league’s reputation or breaks its code of conduct, it can punish them. These punishments can include a fine of up to ₩100 million (around $65,000), being suspended from matches, or in very serious cases, a lifetime ban.
So far, no punishment has been announced. Right now, Ruler is still playing for Gen.G in the 2026 season. Nothing has changed in terms of his matches yet. The next big update will be the LCK’s final decision after its investigation.
It’s pretty clear from cases like these that esports is becoming way more professional, with financial and legal matters getting the same attention as in traditional sports. Recently, Aleksi “Aleksib” Virolainen, NAVI’s Counter-Strike 2 captain was charged with aggravated tax fraud. On top of that, Yang “Naiyou” Zijian, who used to play in China for Top Esports, also in League of Legends, has now been permanently banned for match-fixing.
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