The Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit said it requested the warrant from the Seoul Southern District Prosecutors’ Office on charges under the Capital Markets Act. The move comes about 16 months after police launched their investigation.
Police allege that in 2019, Bang Si-hyuk falsely told investors there were no plans to list HYBE, then known as Big Hit Entertainment, encouraging them to sell their shares to a private equity fund linked to him. The company later went public, with Bang reportedly securing 190 billion won ($130 million) through a prior agreement to receive 30 percent of the fund’s post-listing profits.
Under South Korea’s Capital Markets Act, obtaining financial gains through deceptive practices related to financial investment products is prohibited. Violations involving profits exceeding 5 billion won can result in life imprisonment or a minimum of five years in prison.
Police began an internal probe in late 2024 before expanding it into a formal investigation in mid-2025, which included raids on the Korea Exchange and HYBE headquarters. Bang was questioned five times between September and November last year, and authorities also froze 156.8 billion won worth of his shares.
The investigation drew criticism for its pace after police took no apparent action for more than five months, citing legal reviews. The case also sparked controversy when the U.S. Embassy in Seoul reportedly sent a letter requesting that a travel ban be lifted to allow Bang to attend BTS-related events abroad.
Prosecutors will now decide whether to formally request the warrant from the court. If they do, a hearing to review the warrant typically takes place within two to three days.
The development places Bang, HYBE’s largest shareholder and key decision-maker, at a critical juncture as the company closely monitors the outcome. HYBE shares fell 2.35 percent to close at 249,000 won on Tuesday following news of the warrant request.
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