The ongoing Hybe IPO probe has entered a new stage as founder Bang Si-hyuk pledged to return to South Korea. He announced his decision in a message to Hybe employees, marking his first public response to the serious legal accusations.
Bang admitted that his extended stay abroad caused concern. However, he emphasized his intention to cooperate fully with South Korean authorities. The Hybe IPO probe revolves around suspected misconduct before the company’s 2020 public listing.
Authorities allege that Bang denied IPO plans in 2019 while allegedly arranging share sales to a private equity-linked special-purpose company. That company reportedly had close ties to him. Financial regulators believe these actions misled early investors.
The alleged deal may have breached Korea’s Capital Markets Act. Under this law, gains over 5 billion won through unfair trading can result in prison sentences. Reports suggest Bang may have earned 190 billion won in profits after the IPO, leading to heightened scrutiny.
The Financial Services Commission filed a criminal complaint on July 16. Additionally, the Financial Supervisory Service launched a separate probe with the Seoul Southern District Prosecutors’ Office. On July 23, police raided Hybe’s headquarters to collect evidence. A week later, tax authorities began an audit of Hybe’s finances.
In his internal letter, Bang apologized for causing stress to employees and artists. He stressed that his priority was to support BTS and Hybe’s business abroad. Nonetheless, he now sees the need to be physically present in Korea.
“As founder and chairman, I carry deep responsibility for Hybe’s reputation,” he wrote. “I will do everything to protect the integrity of our work.”
The Hybe IPO probe continues to attract attention across Korea’s corporate and entertainment sectors. However, it remains unclear when Bang will return or when prosecutors will formally question him.
Until then, stakeholders await further updates on the Hybe IPO probe, which may have major consequences for the company’s leadership and future.
