Korea Police Raid HYBE Offices Over Ongoing Stock Probe

South Korean police raided the headquarters of K-pop entertainment agency HYBE on Thursday, July 24, following ongoing inquiries and allegations of unfair share trading involving the company founder and chairman Bang Si-Hyuk, Reuters reports.

Various Korean media outlets report that the raid took place around 9:00 a.m. local time at HYBE’s headquarters in the Yongsan district, near downtown Seoul, carried out by the financial crime unit of the Seoul Metropolitan Police Agency.

The investigation follows allegations that Bang and other executives misled early investors in HYBE — then known as Big Hit Entertainment — and persuaded shareholders to sell their stakes to a private equity fund allegedly set up by associates. Bang is alleged to have profited nearly 400 billion Korean won (approximately $291.3 million today) through illicit gains ahead of the company’s eventual rebranding and initial public offering on the Korean Securities Dealers Automated Quotations (KOSDAQ) in October 2020. As of July 24, 2025, Forbes cites Bang’s real-time net worth at $2.4 billion (currently making him the 1,614th richest person in the world today) with the company’s IPO pushing him into billionaire status.

Reuters adds that the Seoul Metropolitan Police declined to share further comment on the raid, while “HYBE referred to its previous statement that the company was fully cooperating with authorities including the police for ‘fact-finding efforts. We will take the necessary time to thoroughly demonstrate that the IPO was carried out in full compliance with laws and regulations.’”

The Korea Herald reports the Seoul Southern District Court issued the search and seizure warrant on Wednesday, July 23, marking the first time authorities have actually executed a warrant in connection with the case.

Last week, Seoul’s Metropolitan Police Agency requested that the prosecution transfer the case to them, citing months of investigative work, as well as their hope to avoid overlapping investigations from a South Korean financial regulator.

HYBE’s Business Today

HYBE not only houses BTS, but a range of different labels that with various K-pop artists including BTS’ label with BIG HIT MUSIC (which also houses Tomorrow X Together and Lee Hyun), PLEDIS Entertainment (home to SEVENTEEN and TWS), KOZ Entertainment (ZICO, BOYNEXTDOOR), BELIFT LAB (ENHYPEN, ILLIT), ADOR (NewJeans), Source Music (LE SSERAFIM) and more. The company also has offices in Los Angeles, Tokyo, Beijing, and Mexico City, with plans to expand to India, focusing on local acts for the market such as KATSEYE, &TEAM, and aoen.

The company also boasts HYBE Solutions (focused on video, game and education content) as well as HYBE Platforms (a tech division that includes its superfan platform Weverse).

Bang is HYBE’s largest shareholder.

HYBE’s stock fell slightly on the KOSDAQ for Thursday, down two percent at 262,000 Korean won (nearly $191), from 267,500 Korean won the day before. The stock is up 33% year-to-date.