South Korean Police Seek Arrest of BTS Agency Founder Bang Si-hyuk in K-pop Investigation

South Korean police are seeking to arrest Bang Si-Hyuk, the chairman of Hybe and founder of the agency behind K-pop supergroup BTS, as they expand an investigation into allegations of investor fraud tied to the company’s 2020 initial public offering.

The Seoul Metropolitan Police Agency confirmed it has asked prosecutors to request a court warrant for Bang’s arrest, alleging he illegally gained more than $100 million by misleading early investors about Hybe’s plans to go public. According to police, Bang told shareholders in 2019 that the company had no intention of pursuing an IPO, prompting them to sell their stakes to a private equity fund linked to his associates. After Hybe proceeded with its public offering in 2020, the fund reportedly paid Bang approximately 200 billion won ($136 million) as part of a side deal granting him 30% of post-IPO stock sale profits.

Bang has been barred from leaving South Korea since August 2025 as the investigation progressed. His legal team stated they regretted the police’s move to seek his arrest “despite our full and consistent cooperation with the investigation over an extended period,” adding that they would continue to cooperate with legal procedures and explain their position. Bang has denied any wrongdoing through his representatives.

The case centers on alleged violations of South Korea’s Capital Markets Act, with police asserting Bang secured roughly 190 billion won ($129 million) in illicit gains through fraudulent and unfair trading practices related to Hybe’s IPO. Authorities say he structured a private equity arrangement to deceive early shareholders before benefiting from the company’s public listing.

Hybe, home to BTS and other major K-pop acts, has not issued a public response to the latest developments. The news comes as BTS prepares for a global tour following a nearly four-year hiatus during which its seven members completed mandatory military service, a requirement for most able-bodied South Korean males.

Bang Si-Hyuk founded Hybe in 2005 and built it into one of the most influential entertainment companies in South Korea, overseeing the rise of BTS to global stardom. His potential arrest marks a significant moment for the company and the broader K-pop industry, which has seen increased scrutiny of business practices amid its international expansion.