HYBE Chairman Bang Si-hyuk Under Investigation for Alleged Fraudulent Transactions
HYBE Chairman Bang Si-hyuk Under Investigation for Alleged Fraudulent Transactions
The South Korean police have launched a compulsory investigation into HYBE, amid allegations of fraudulent transactions involving its chairman, Bang Si-hyuk.

The Financial Crimes Investigation Unit of the Seoul Metropolitan Police Agency announced that they began a search and seizure operation at HYBE's headquarters in Yongsan, Seoul, and other related locations starting at 9 a.m. on the 24th.

Chairman Bang is accused of misleading existing investors in 2019 by stating there were no plans for an initial public offering (IPO), while allegedly encouraging them to transfer their shares to a private equity fund linked to him.

However, the IPO did proceed, and financial authorities believe Bang received 30% of the sale profits from the private equity fund, amounting to approximately 190 billion won in illicit gains.

Reported by Jiye Choi, TenAsia journalist, wisdomart@tenasia.co.kr