South Korean prosecutors have rejected a police request for an arrest warrant for music tycoon Bang Si-Hyuk, the chair of the agency behind the K-pop supergroup BTS. Bang is facing a high-profile investigation into alleged investor fraud, but prosecutors have questioned whether his detention is necessary.
Investigation Details
The Seoul Metropolitan Police Agency asked prosecutors earlier this week to request a court warrant to arrest the billionaire founder and chair of Hybe. The Seoul Southern District Prosecutors’ Office said on Friday that it found that the request lacked sufficient grounds to justify his detention and instructed police investigators to strengthen their case. Bang, who has been barred from leaving the country since August, is not seen as a realistic flight risk.
Allegations Against Bang
The 53-year-old is being investigated over claims that he misled investors in 2019 by indicating that Hybe had no immediate plans to go public, prompting them to sell their shares to a private equity fund. Shortly afterward, the company proceeded with an initial public offering. Police believe that the fund may have paid Bang somewhere around 200 billion won (about £100 million) in a side deal that promised him 30 per cent of post-IPO stock sale profits. Bang denies any wrongdoing, Hybe officials say.
Legal Team's Response
Bang’s legal team has criticised police for seeking his arrest, saying that he has been fully cooperating with the investigation for months. Bang’s legal troubles are a public relations setback for Hybe, coming as BTS launches a global tour after a nearly four-year hiatus as its seven members served their mandatory military service.
BTS Comeback Tour
BTS performed in front of tens of thousands of international fans at a free comeback concert in Seoul in March and have also held concerts in South Korea’s Goyang city and Tokyo, Japan. The group will kick off a series of US events with a concert in Tampa, Florida, over the weekend.
