Police raid Hybe headquarters over chairman Bang Si-hyuk's alleged pre-IPO stock fraud
The raid was carried out by the financial crime unit of the Seoul Metropolitan Police Agency, which is investigating allegations that Bang misled early investors and earned illicit gains worth nearly 400 billion won ($292.7 million) ahead of the company's initial public offering in October 2020.
The Seoul Southern District Court reportedly issued the search and seizure warrant on Wednesday, marking the first time authorities have executed a warrant in connection with the case.
Hybe said it has no official statement on the matter.
Police also declined to comment, saying, 'No specific details can be confirmed at this time.'
The operation comes a week after the Securities and Futures Commission under the Financial Services Commission filed a criminal complaint against Bang, accusing him of violating the Capital Markets Act by engaging in unfair trading practices.
Police had previously requested search warrants on April 30 and May 28, but prosecutors rejected both. The revised warrant was granted after the commission's formal complaint on July 16.
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