On May 11, Park Sung Joo, head of the National Bureau of Investigation, addressed reporters during a regular press conference held at the National Police Agency in Seoul.
As for whether police intend to resubmit another request for an arrest warrant, Park said authorities are currently reviewing prosecutors’ requests for additional additional investigations before making further decisions.
The case centers on allegations of unfair trading fraud linked to HYBE’s corporate listing process.
According to investigators, Bang Si Hyuk deceived investors in 2019 by claiming that there were no plans for the company to go public. Police suspect that after investors sold shares to a specific private equity fund based on these statements, HYBE proceeded with the stock market listing anyway.
Authorities also suspect that Bang Si Hyuk had a secret preliminary agreement with the private equity side that allowed him to receive 30% of post-IPO investment profits. Investigators believe the deal may have generated illicit gains of around KRW 190 billion.
The Financial Crimes Investigation Unit of the Seoul Metropolitan Police Agency first filed an arrest warrant against Bang on April 21. However, prosecutors rejected the request several days later, arguing that the evidence supporting the need for detention was still insufficient.
Police subsequently resubmitted the warrant request on April 30, but prosecutors once again rejected it, saying that previously requested additional investigative requirements had not been fully completed.
The repeated refusal has sparked speculation among some Korean media suggesting possible tension between the police and the prosecutor’s office, especially in the context of ongoing discussions on major prosecutorial reform and the possible dismantling of the prosecutor’s office system. However, Park Sung Joo rejected such interpretations.
He stated, “Some reports have described this as a power struggle, but I completely disagree with this interpretation. We are continuing to coordinate well with prosecutors.”
Although authorities refused to reveal the exact details of the additional investigations requested, police confirmed that the matter is still under investigation.
The investigation into Bang Si Hyuk reportedly intensified after police received relevant intelligence reports in late 2024. Authorities subsequently conducted search and seizure operations at HYBE headquarters and the Korea Exchange in June and July last year, also placing Bang with an overseas travel ban.
Police also summoned the HYBE president for questioning five separate times between September and November.
Despite the ongoing investigation, Bang Si Hyuk has consistently denied any wrongdoing. Its side claims that HYBE fully complied with all relevant laws and regulations during the company’s IPO process and insists that there were no legal violations.
As the founder of HYBE and an executive widely credited with turning BTS into a global phenomenon, Bang Si Hyuk remains one of the most influential figures in the Korean entertainment industry. The legal controversy surrounding it has therefore attracted enormous public attention both within and outside the K-pop world.
Sources: Daum | Stella today
