Prosecutors in Seoul have rejected a police request for an arrest warrant against Hybe chairman Bang Si-hyuk, citing insufficient evidence for detention. Bang faces accusations of deceiving investors into selling shares before the company's 2019 IPO. Police plan to review reapplying after further investigation.
The Seoul Southern District Prosecutors' Office rejected on April 24 a police request for an arrest warrant against Bang Si-hyuk, chairman and founder of K-pop giant Hybe. Prosecutors stated, "At this stage, there is insufficient evidence to justify the necessity of detention, and we have therefore requested a supplementary investigation."
Bang is accused of fraudulent unfair trading under the Capital Markets Act by deceiving investors in 2019 into selling their Hybe shares before the company's initial public offering, allegedly pocketing about 260 billion won (US$175.28 million) in illegal profits. The act prohibits financial gains through false statements or deceptive schemes involving unlisted shares. Violations yielding over 5 billion won in profits carry life imprisonment or a minimum five-year term.
Bang has denied the allegations, saying the IPO followed the law and regulations. Police received a tip-off in late 2024 and raided the Korea Exchange and Hybe headquarters the following year. In August, Bang was banned from leaving the country, imposing various activity restrictions.
The U.S. Embassy in Seoul recently sent a letter to police requesting permission for Bang to travel to the United States for K-pop supergroup BTS' world tour. Police said they will review reapplying for the warrant after further probes, adding decisions will follow due process.
