HYBE chairman Bang Si Hyuk appeared before police on September 15 for questioning over alleged violations of the Capital Markets Act.
At 10 a.m., Bang arrived at the Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit as a suspect in a case involving fraudulent transactions.
Dressed in a suit, he briefly addressed reporters at the photo line, saying, “I sincerely apologize for causing concern with this matter. I will faithfully cooperate with today’s investigation,” before entering the building.
This marks the first time Bang Si Hyuk has appeared before investigators. He is accused of misleading investors in 2019, ahead of HYBE’s IPO, by claiming the company had no such plans. As a result, investors sold their shares to a special-purpose company (SPC) set up by a private equity fund backed by HYBE executives.
However, reports indicate HYBE was already pursuing IPO-related procedures at the time, including filing for a designated auditor. Authorities allege that Bang Si Hyuk went ahead with the IPO and received 30% of the resale profits from the fund, pocketing approximately 190 billion KRW (about 137 million USD) in illicit gains.
Police began investigating after receiving intelligence late last year and conducted a high-profile raid of HYBE’s Yongsan headquarters this past July.
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