HYBE Chairman Bang Si-hyuk hit with travel ban upon his return to Korea over allegations of 190 billion won IPO scandal

On October 1, MBN has reported that HYBE chairman Bang Si-hyuk is currently under a travel ban. This ban is in connection with allegations of unfair trading worth 190 billion won.

According to the report, the Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit has imposed the restriction on August 11. It has been done immediately following Chairman Bang's return to South Korea. He is being investigated on suspicion of violating the Capital Markets Act.

The police investigation centers on accusations that in 2019, Bang allegedly misled investors by denying any immediate plans for HYBE to go public. Following this, he is suspected of having sold company shares to a private equity fund, which has been established with investments from former HYBE executives. This has alleged to have resulted in illicit profits totaling an estimated 190 billion won.

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HYBE Chairman Bang Si-hyuk under scrutiny in widening probe over alleged 190 billion KRW IPO misconduct

The head of HYBE, Chairman Bang Si-hyuk, was currently the focus of a widening investigation. When HYBE successfully listed in October 2020, the private equity fund reportedly sold its acquired shares, realizing substantial gains. Investigators claim Bang personally benefited by receiving approximately around 190 billion KRW from the deal.

This amount allegedly included a 30 percent share of resale profits through a confidential nondisclosure agreement. This contract's confidential nature and alleged omission during the IPO review have drawn particular scrutiny from investigators

Under South Korea’s Capital Market Act, misleading investors or using fraudulent methods in unlisted stock transactions carries strict penalties. For profits exceeding 5 billion KRW, the law allows sentences of up to life imprisonment.

Sher is 𝑰𝒏 𝑩𝒍𝒐𝒐𝒎 🌸

@yujuworks

That's a first step

Bang Si-hyuk denied all allegations of wrongdoing. His representatives maintain that the IPO process was conducted strictly in accordance with regulatory procedures and that the contracts established with the private equity fund were fully transparent.

While Bang has publicly apologized for the concerns generated by the investigation, he insists that the company's listing itself adhered to all regulations. Industry observers also have pointed out that some investors made money from the sales, adding complexity to the case.

Investigators have already carried out raids at umbrella company’s headquarters in Yongsan and at the Korea Exchange. They have questioned Bang twice and are expected to summon him again.

B50𝓡ê𝐕éᵀᵃᵉ ᶜʳᵉʷʟᴀʏᴏ(ꪜ)ᴇʀ💜GoldenʲᵏV♡K𐤀 ᵗᵏ

@luv4jkv

It's about time!!!!!

The Financial Services Commission has filed a criminal complaint, while the Financial Supervisory Service is conducting a separate review. Authorities are also examining seized documents and considering measures to ensure Bang’s cooperation, including a travel ban.

On September 22, 2025, he appears at the Mapo office of the Seoul Metropolitan Police Agency’s Financial Crimes Investigation Unit for a second round of questioning. This is just a week after his initial summons. Officials have suggested that further questioning sessions will follow as the investigation continues.

The focus remains on the gap between Bang’s 2019 statements and HYBE’s eventual IPO. The outcome will determine whether he faces trial under the Capital Market Act.