South Korean police have said they are seeking an arrest warrant for Bang Si-Hyuk, chairman of Hybe and head of BTS’s management agency, over alleged investor fraud exceeding 100 million US dollars.
Police said on Tuesday that they have asked prosecutors to obtain a court warrant as the investigation expands. Bang is accused of misleading investors in 2019 by suggesting Hybe would not proceed with a stock market listing, prompting them to sell shares to a private fund ahead of the company’s initial public offering.
Authorities also suspect a separate 200 billion won (136 million US dollars) side agreement that allegedly granted him a 30 per cent share of IPO profits.
Bang’s lawyers said he regrets the move to seek an arrest warrant despite fully cooperating with investigators. They denied any wrongdoing. He has been barred from leaving South Korea since August.
The case comes as Hybe and BTS return to public activity following a four-year hiatus linked to mandatory military service. The group has recently held comeback shows in Seoul, Goyang and Tokyo and is due to begin a United States tour starting in Tampa, Florida.
Bang founded Big Hit Entertainment in 2005, which later became Hybe and grew into one of South Korea’s most powerful K-pop companies. In 2021, Hybe acquired Ithaca Holdings for 1 billion US dollars, bringing artists including Justin Bieber and Ariana Grande under its portfolio. Its roster also includes groups such as Seventeen, Le Sserafim and Katseye.
The company has also faced internal disputes, including a 2024 conflict between Bang and producer Min Hee-jin over Ador and the girl group NewJeans. Court rulings have required NewJeans to honour their contract until 2029. Authorities say the investigation remains ongoing.
