Hybe Founder Bang Si-hyuk Questioned Five Times in Ongoing Pre-IPO Stock Fraud Investigation
Bang Si-hyuk — the founder and current chair of Hybe, home to global K-pop powerhouses — has now been summoned for police questioning a total of five times amid an ongoing investigation into alleged pre-IPO stock fraud. According to reports released Tuesday, the Seoul Metropolitan Police Agency’s financial crime unit has been steadily intensifying its probe, with Bang appearing for questioning on multiple occasions throughout October and November.
Authorities confirmed that Bang was questioned on Nov. 5, but the session was not completed due to the depth of the inquiries. As a result, he was summoned again on two more occasions in November for follow-up questioning. Prior to this, investigators had already questioned him on Oct. 15 and Oct. 22, marking a significant escalation in the investigation timeline.
The allegations stem from claims that Bang misled investors in 2019 by allegedly denying plans for Hybe’s initial public offering. Prosecutors believe that during this period, investors were persuaded to sell their shares to a special-purpose company tied to a private equity fund reportedly connected to Bang. Following Hybe’s highly successful IPO, the private equity fund later sold these shares, generating massive profit.
Investigators allege that Bang personally benefited from roughly 30 percent of the proceeds from that sale — totaling an estimated 190 billion won ($129 million). The profit, they argue, may have been unfairly gained due to prior arrangements made before Hybe went public.
The police began looking into the case late last year, and the investigation has gained momentum with several high-profile actions taken throughout 2024. On June 30, authorities searched the Korea Exchange, South Korea’s primary stock market operator, as part of an effort to secure evidence related to Hybe’s 2020 IPO. Later, on July 24, investigators executed a search and seizure operation at Hybe’s headquarters in Yongsan-gu, signaling that the probe had expanded significantly.
Hybe has declined to issue any formal statement on the matter, citing the active and ongoing nature of the investigation. The company maintained that it would not be appropriate to comment until police conclude their inquiry.
During the Seoul Metropolitan Police Agency’s regular press briefing on Monday, an official stated that the investigation has made “considerable progress.” However, no additional details were provided, suggesting that the probe is still at a sensitive stage.
As one of the most influential figures in the Korean entertainment industry, Bang Si-hyuk’s legal battle is drawing intense public and media attention. The outcome of this investigation could have major implications not only for the executive himself but also for Hybe’s corporate reputation and the broader entertainment sector.
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