South Korean police sought a detention warrant for HYBE chairman Bang Si-hyuk on Monday over alleged illegal trading tied to the entertainment conglomerate’s 2020 public offering.
According to the Seoul Metropolitan Police Agency, Bang allegedly violated capital market laws by misleading investors before the listing of the company — which is the home of powerhouse groups like BTS, SEVENTEEN and KATSEYE — by directing them to sell shares to a private equity fund that is said to be linked to his associates. Bang allegedly assured investors in 2019 that the company didn’t have plans to go public, and instead urged them to sell their shares.
Police claim that, after HYBE went public in 2020, the fund in-question sold its stake in the company, which resulted in Bang receiving about 30% of the profits thanks to a shareholder agreement. In result, he allegedly earned in illicit gains around 190 billion won, or about $129 million. However, Bang previously denied any wrongdoing.
The update comes a day after Seoul Metropolitan Police Agency Commissioner Park Jung-bo told press that the investigation into the matter was “essentially complete,” per The Korean Herald.
Bang has been under a travel ban since August of last year, as police were in the middle of investigating his alleged violation of the Capital Markets Act.
A representative for Bang did not immediately respond to TheWrap’s request for comment.
Bang’s pending legal woes come at a big moment for HYBE, as the company just launched BTS’ comeback tour after a four-year hiatus and released a new song, titled “PINKY UP,” for rising girl group KATSEYE. The latter group just made their Coachella debut this month, too, notably bringing out the ladies of HUNTR/X from “KPop Demon Hunters” as surprise guests.
Bandmates Daniela Avanzini, Lara Raj, Megan Skiendiel, Sophia Laforteza, Yoonchae Jeung and Manon Bannerman’s journey as K-Pop trainees was documented for the 2024 Netflix docuseries, titled “Pop Star Academy: KATSEYE” — in which Bang appeared.
After releasing hit singles like “Debut,” “Gnarly,” “Gabriela” and “Touch,” Katseye was nominated for the Best New Artist and Best Pop Duo/Group Performance Grammys at the 2026 awards show. Though, HYBE and Geffen Records faced controversy in February after they announced that Bannerman was on a temporary hiatus — while the singer indicated it wasn’t her decision.
It’s been a controversial 2026 for HYBE, it seems.
