SEOUL, South Korea — Authorities in Seoul announced Tuesday they are pursuing an arrest warrant for Bang Si-Hyuk, the music industry executive who chairs HYBE, the entertainment company that manages global K-pop phenomenon BTS. Officials allege Bang orchestrated a scheme that defrauded investors of over $100 million.
The Seoul Metropolitan Police Agency has formally requested prosecutors to seek a court-issued arrest warrant for Bang. HYBE representatives have not yet provided comment on the matter.
Investigators have been examining Bang’s activities since November, focusing on accusations that he deceived investors in 2019. The allegations center on claims that Bang falsely told investors HYBE would not pursue a public stock offering, convincing them to sell their ownership stakes to a private equity firm before the company actually went public. Authorities suspect the equity fund provided Bang with approximately 200 billion won ($136 million) through a secret arrangement guaranteeing him 30% of profits from post-IPO stock sales.
As the founder of HYBE, originally established as Big Hit Entertainment in 2005, Bang has become one of K-pop’s most influential executives. His company manages several major acts beyond BTS, including Seventeen, Le Sserafim, and Katseye.
The legal challenges represent a significant blow to HYBE’s reputation, particularly as BTS launches their worldwide tour following an almost four-year break while members completed South Korea’s required military service.
BTS recently performed for tens of thousands of international fans at a free reunion concert in Seoul and has since held additional shows in South Korea’s Goyang city and Tokyo. The group plans to begin their U.S. tour dates with a performance in Tampa, Florida, later this month.
