Police: Police said Tuesday they have filed for an arrest warrant for Bang Si-hyuk, the chairman and founder of K-pop powerhouse Hybe, on suspicions of unfair stock trading. Bang has been under investigation over allegations that he deceived investors in 2019 into selling their shares in Hybe and then holding an initial public offering for the company, through which he pocketed nearly 200 billion won (US$135.9 million) in illegal profits.

According to Yonhap News Agency, the case centers around accusations that Bang misled investors concerning the financial status and potential of Hybe, leading to the selling of shares at a lower value than their worth prior to the company's public offering. The subsequent initial public offering (IPO) allegedly enabled Bang to amass significant profits, which authorities claim are illegal gains derived from the manipulated stock transactions.

The investigation is part of a broader effort by law enforcement to scrutinize financial practices within the entertainment industry, particularly concerning transparency and ethical dealings in stock markets. The request for an arrest warrant indicates the seriousness of the allegations and the authorities' commitment to ensuring accountability at high levels of corporate governance.

Hybe, under Bang's leadership, has grown into a major entity in the global music scene, most notably for managing the world-renowned K-pop group BTS. The unfolding legal proceedings could have significant implications for the company and its stakeholders, given Bang's central role in its operations and strategic direction.