HYBE’s founder and chairman, Bang Si-hyuk, has publicly addressed the ongoing investigation into alleged stock manipulation involving him, assuring staff that he will cooperate fully with authorities. The K-pop mogul recently sent an email to employees, acknowledging the impact the matter may have had on the company, its artists, and fans.
Bang Si-hyuk Addresses Staff in Emotional Email
In his email, Bang acknowledged the speculation surrounding him, saying: “Over the last year, much has been said and written about me in the press. Increasingly, I believe these events are causing confusion and concern for you, as well as our artists, fans, and partners."
He added, “I will return to Korea to fully and transparently work with investigators and put these allegations to rest. In particular, I feel a deep sense of regret knowing that our members and artists, who should be focused solely on their creative and professional goals, might be suffering because of this situation … I understand how my absence may have contributed to confusion and frustration."
Bang is currently in the U.S. but has confirmed plans to return to South Korea to face the inquiry.
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Police Raid HYBE Headquarters in Seoul
The statement comes shortly after South Korean police raided HYBE’s Seoul headquarters as part of the investigation. Authorities are probing allegations that Bang engaged in fraudulent and unfair trading under the Capital Markets Act.
According to reports, Bang is accused of misleading investors by denying any plans for an IPO, prompting them to sell their HYBE shares to a private equity fund (PEF) connected to him. This allegedly occurred while HYBE was quietly preparing to go public.
When the company eventually filed for an IPO, Bang reportedly profited through a 30% return-sharing deal with the PEF — a transaction allegedly not disclosed during the IPO process.
If found guilty and the gains exceed 5 billion KRW (about $3.64 million), Bang could face life imprisonment or a minimum sentence of five years.
For context, HYBE manages several major K-pop acts, including BTS, Tomorrow X Together, LE SSERAFIM, NewJeans, BOYNEXTDOOR, and KATSEYE.