Involved In IPO Fraud Case, HYBE CEO Si Hyuk Is Prohibited From Going Abroad

Bang Si Hyuk (Instagram @hitmanb72)

JAKARTA - The South Korean police issued a ban abroad for HYBE director, Bang Si Hyuk. This is related to the alleged IPO fraud case involving his name.

On Wednesday, October 1, a Financial Investigation Unit from the Seoul Police announced that Bang Si Hyuk, who is being investigated for alleged violations of the Capital Market, was prohibited from traveling abroad.

The ban was issued after Bang Si Hyuk returned from the United States on August 11. Then he fulfilled the summons for questioning by the police twice, namely September 15 and September 22.

Bang Si Hyuk has been questioned since the middle of this year for alleged violations of the Capital Market Law by defrauding investors in 2019. Bang Si Hyuk said HYBE companies had no plans to go public and continue operating as private companies.

This prompted investors to sell their shares to a company founded by private equity funds formed by HYBE senior executives.

It turned out that the police suspected HYBE had planned an IPO or in short the company began to go public at that time.

Bang Si Hyuk allegedly received 30% of the sales profit and earned 190 billion Won or equivalent to IDR 1.5 trillion.

In response to the report, HYBE only replied, "We comply with all laws and regulations that are in accordance with records and are not a matter of law."