BTS Founder Bang Si-hyuk Faces Arrest Warrant Over Alleged $136M Fraud Before Hybe IPO
Authorities in South Korea have asked prosecutors to pursue an arrest warrant for Bang Si-hyuk, the founder of the K-pop giant Hybe, due to accusations of fraudulent trading prior to the company’s public listing in 2020. Allegations suggest that in 2019, Bang misled investors while covertly preparing for the IPO, reportedly earning 200 billion won ($136 million) when Hybe went public on the Kospi in October 2020. The 53-year-old has denied any misconduct and has faced a travel ban since August 2024. The investigation, initiated by the nation’s financial regulator in December 2024, asserts that Bang engaged in undisclosed profit-sharing deals before Hybe's IPO. Following the warrant request, Hybe's shares dropped by 2.3%.
Key facts
- Bang Si-hyuk faces potential arrest over alleged fraudulent trading before Hybe's 2020 IPO
- Police allege Bang misled investors in 2019 about listing plans while secretly preparing
- Hybe debuted on South Korea's Kospi bourse in October 2020
- Bang allegedly pocketed 200 billion won ($136 million) from the scheme
- Bang has been banned from international travel since August 2024
- Hybe shares fell 2.3% following the arrest warrant request announcement
- BTS began a comeback world tour expected to generate over $1 billion
- South Korean authorities established a new team in August 2024 to investigate illegal stock trading
Entities
Artists
- Bang Si-hyuk
- Park Jin-young
- Lee Jae Myung
- Lee Jae-yong
- Kim Beom-su
- Kim Keon-hee
Institutions
- Hybe
- JYP Entertainment
- Big Hit Entertainment
- Bloomberg
- Korea CXO Research Institute
- Billboard
- Time
- Samsung
- Kakao
Locations
- South Korea
- Seoul