HYBE’s chairman and BTS creator, Bang Si Hyuk, has finally broken his silence on the ongoing investigation into alleged illegal trading tied to the company. In an internal email sent to HYBE staff on the morning of August 6, Bang, who’s been out of Korea for months, said he would return “as soon as possible” to cooperate with authorities. HYBE has consistently denied the claims, which accuse the company of misleading select pre-IPO investors into believing the public listing would be delayed.
Bang Si Hyuk responds to illegal trading allegations
In an email copy acquired by SBS News, Bang said the reason he’s been staying overseas for a long period of time was because of upcoming music releases and to focus on expanding the company’s future business. But, with things escalating, including a recent raid of HYBE headquarters, he’s decided to pause all urgent work and meetings to come back and face the investigations. “I have already provided a detailed explanation of the circumstances surrounding the IPO during the financial authorities’ investigation,” he said, and added, “I will faithfully cooperate with the future investigation. I expect the truth to be revealed through this process, and I will humbly await the authorities’ judgment.” The former BTS music producer also admitted that he knows his personal issue is weighing down not just the company but the music industry as well.
Bang Si Hyuk and BigHit rebranded as HYBE, is accused of misleading early investors back in 2019 before the company went public. According to the allegation, he reportedly mislead the investors into giving up their shares, and later transferring them to a private equity fund linked to him through a special purpose vehicle (SPC), to discreetly handle the finance.
The Securities and Futures Commission had already filed an official complaint against him on July 16. On July 24, police raided HYBE’s headquarters in Seoul. The Financial Supervisory Service’s Special Judicial Police are currently handling the investigation. Meanwhile, the National Tax Service has launched a separate tax probe into HYBE. However, there is no official update on summons.
In the email, Bang opened up about how the events of the past year (HYBE vs ADOR feud) and now his personal legal trouble have dragged his name and HYBE into the headlines repeatedly. He said he feels “a deep sense of responsibility” for the stress this has caused both employees and artists. Notably, the controversies come at the time when BTS is preparing for a big spring comeback after the members complete their mandatory military service. Bang Si Hyuk offered a direct apology to them, especially to those who may have felt “uncomfortable” being caught in the middle of all this. “As the founder and chairman, I feel a heavy sense of responsibility for causing such great concern. Above all, I sincerely apologise to the members who may have been uncomfortable with this situation,” he said.
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He also stated, “I started this with the dream and sense of calling of advancing the music industry, and I’ve always prided myself on doing my best to remain upright throughout the process.” And while he’s always believed in doing things the right way, he admitted that what he thought was confidence may have come off as arrogance. “I was deeply concerned that members and artists, who should be focusing on their creative and business activities, might be harmed. As a creator myself, this situation has been even more painful,” he said.
He concluded by saying he will do everything he can to explain and fix the situation, and that he wants to make sure his own issues don’t block anyone else’s path forward. “I’ll protect the space so each one of you can keep doing what you do best, without distractions.”
