Seoul, September 22, 2025 – Bang Si-hyuk, the chairman of HYBE, was interrogated by police for around 13 hours regarding allegations that he earned illicit earnings by purportedly misleading investors, before departing the police station late Monday night.
Bang left the Seoul Metropolitan Police Agency’s Financial Crime Investigation Unit in the Mapo District at 11:48 PM, with bodyguards surrounding him. He did not answer reporters’ queries whether he misled investors or what he discussed during the investigation, and got in a waiting car without comment.
Earlier that day, Bang appeared around the police station as a suspect charged with violating the Capital Markets Act through fraudulent trading. Bang stated to reporters before entering, “I am sorry that I caused concern. I will sincerely cooperate with today’s investigation.”
According to police, Bang and his fellow HYBE executives lied to shareholders about their plans for an IPO in 2019 by saying they had no plans for listing the company, while they were purportedly arranging for the company shares to be transferred to a special purpose company (SPC) under a private equity fund they set up. The investors sold the shares at a depreciated value based on Bang’s statements in regards to HYBE’s IPO.
When the company launched its IPO, the share value multiplied and police believe Bang would have reaped around 190 billion won ($140 million) in profits, receiving 30% of the SPC share sales. This began the police investigation and is considered illicit gains from a dishonest scheme.
HYBE is the agency for BTS, TXT, Seventeen & other top K-pop acts and said, “It may take some time, but we will clearly explain that the listing at the time had been carried out in accordance with laws and regulations.”
This is the second time Bang has been questioned on the allegations. He was previously questioned as a suspect in the same cyber-investigation on September 15, which included some lengthy questioning by the Seoul police. The authorities have also conducted raids to obtain important documentation, including searching the Korea Exchange in June to get documentation regarding the fictitious listing review for HYBE, and raided HYBE headquarters in July.
The police would not comment as to whether there may be a travel ban against Bang, but stated their commenting procedures are ongoing. In addition to the police, special judicial police officers working for the Financial Supervisory Service (FSS) under the supervision of prosecutors, are independently reviewing the allegations.
Bang Si-hyuk has denied any and all allegations, as he believes the investors made a profit before they sold their shares, and that his share of the profit was simply payment for taking on risk through the put options.
HYBE stated, “we regret that the authorities rejected our explanation, and we will clarify all ongoing matters related to the issues we have been dealing with.”
Despite the lingering controversy, Bang is still often considered one of the wealthiest executives in the K-pop industry, estimated to be worth greater than $2.5 billion according to Forbes 2024. He’s touted to be the wealthiest K-pop CEO, surpassing the founders of YG, JYP, and SM Entertainment. Bang’s wealth came from founding BigHit Entertainment (now called HYBE), managing global phenomena like BTS, and producing for over two decades in the music industry.
The case has caused observers to debate on the trust investors have in this particular segment of the entertainment sector, as well as the overall corporate governance of South Korean entertainment. Analysts believe the outcome may have ramifications for Bang’s personal financial fortunes, the global credibility of HYBE, and the overall perception of transparency within the K-pop space.
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While the case remains under investigation, all eyes are on this high-profile legal matter, which may set important future corporate governance and ethics standards within South Korean entertainment. Police will review Bang’s statement and all collected evidence before moving forward, while the public waits for the outcome to a scandal that has garnered attention both domestically and globally.
