[REVISION HISTORY]

HYBE Chairman Bang Si-hyuk referred to prosecutors

Updated 6 times since CLSTR started tracking revisions of this situation.

What changed

2026-09-07 00:46 UTC → 2026-09-07 04:32 UTC · added ~~removed~~

Following a 21-month investigation, South Korean police have officially referred HYBE Chairman Bang Si-hyuk and four other executives to prosecutors on suspicion of fraudulent unfair trading under the Capital Markets Act. The Seoul Metropolitan Police Agency alleges that in 2019, Bang and his associates misled venture capital investors by claiming there were no plans for an initial public offering (IPO). Authorities claim this deception induced investors to sell their shares to specific private equity funds while the group was simultaneously preparing for the listing. Following the successful listing in October 2020, the shares were sold, resulting in estimated illicit gains of approximately 263.1 billion won. New reports indicate a potential side deal may have promised Bang approximately 200 billion won, representing 30% of the profits from the post-IPO share sales. In addition to Bang, the referred individuals include other HYBE executives and officials from private equity funds. While Bang and the other executives were referred to the prosecution without detention, a former Chief Investment Officer, Kim Jung-dong, has been placed on Interpol’s red notice after fleeing to the United States. Although police sought arrest warrants for Bang earlier this year, prosecutors rejected them twice, citing insufficient grounds for detention and the need for further investigation. A court has granted a request to preserve assets equivalent to the alleged gains. HYBE has maintained its denial of all allegations, asserting that the listing was not finalized during the transactions in question and that they have provided “objective evidence to clear the company of any wrongdoing.” The case has now been handed to the Seoul Southern District Prosecutors' Office, which will determine whether to proceed with an indictment or order further investigation.

Versions

Only revisions since CLSTR began indexing content versions appear here. Select a version to see what changed compared to the one before it.