2-Year Fraud Investigation into HYBE Chairman Bang Sihyuk Reaches Verdict, Bringing ARMYs to Tears of Joy

 

As fans know, HYBE Chairman Bang Sihyuk has been facing legal allegations related to illicit gains stemming from the listing of his K-pop empire earlier this year. Police accused Bang of deliberately concealing or mispresenting information in order to personally profit 190 billion won IPO (approximately $131 million) through a fraudulent deal with a private equity fund before the IPO. If the allegations are proven true, his actions could constitute securities fraud or investment fraud under South Korean law, which could carry a prison sentence ranging from five years to life imprisonment.

For a period of time, Bang PD had almost disappeared from the public eye and rarely appeared at HYBE-related events. However, recently, fans have started spotting him more frequently at places associated with the company’s artists, including BTS’s concert in Goyang in April, CORTIS’s birthday pop-up, and the group’s concerts. These appearances quickly caught the attention of the fan community.

These signs left many fans wondering about the progress of the investigation, which has dragged on for nearly two years. Notably, a recent announcement from the Seoul Metropolitan Police has now signaled that the case may finally be nearing its conclusion.

At a regular press briefing on the morning of the 24th at the Seoul Metropolitan Police Agency headquarters in Naeja-dong, Jongno District, Seoul Metropolitan Police Chief Park Jeong-bo said that he had received a report confirming that the investigation into Chairman Bang Si-hyuk had been completed. He also said that the necessary procedures to officially close the case were underway.

When asked whether police would submit another request for an arrest warrant for Bang Si-hyuk, Chief Park said, “We will probably let you know soon.” He also emphasized that most of the necessary investigative work was nearly complete and that authorities were carrying out the final procedures to wrap up the case, adding that they would make every effort to complete the process as soon as possible.

The development marks a notable turning point in a case that began in November 2024, when suspicions surrounding HYBE’s IPO process were first raised. From the beginning, HYBE denied any wrongdoing and stated that the company “did not violate any relevant laws or regulations during the listing process.” The company later maintained its position, saying that, through external consultations, it had confirmed that there were “no legal issues.”

However, by June 2025, authorities began searching for and seizing documents related to HYBE’s IPO preparations at the Korea Exchange, followed by a raid on HYBE’s headquarters in July of the same year. From September to November, Bang Si-hyuk was summoned for questioning a total of five times. Authorities also obtained court approval to freeze HYBE shares worth approximately 156.8 billion won and imposed a travel ban on him.

Bang Si-hyuk’s lawyer told Xports News, “It is regrettable that an arrest warrant was requested despite our sincere cooperation with the investigation over a long period. We will continue to fully engage in future legal proceedings and do our best to provide a thorough explanation.” Throughout the 20-month-long investigation, Bang Si-hyuk has consistently maintained that he fully complied with all legal requirements during HYBE’s IPO and denied all allegations.

Amid everything that has happened over this period, some industry experts even spoke out in support of Bang PD, questioning whether the Seoul authorities had gone too far or referring to the situation as “the folly of ‘killing the cow to straighten its horn.’” In an editorial titled “Hallyu’s Rise, National Dignity, and Tolerance for Bang Si-hyuk,” Kim Soon-hwan, Editor-in-Chief of Pinpoint News, wrote: “Many BTS fans and members of the public felt disheartened watching this unfold, believing it is regrettable that ‘artist Bang Si-hyuk,’ who is neither a financial nor accounting expert, continues to be called in for questioning.”

Now that police have confirmed that the investigation has been completed and that the procedures to close the case are underway, those who have supported Bang PD throughout this ordeal finally seem to have a reason to breathe a sigh of relief. Although the final legal conclusion still awaits an official announcement, the latest statement from police at least suggests that the case has finally reached its conclusion.