Latest news with #HYBE
Pink Villa
10 hours ago
- Business
- Pink Villa
Did HYBE's Bang Si Hyuk downplay CFO's resignation after police raid? All about ADOR director's exit in 400 billion KRW stock probe
HYBE Corporation, the global entertainment giant behind BTS, SEVENTEEN, and LE SSERAFIM, has come under fire. Prosecutors launched a full-scale legal investigation into alleged financial misconduct involving high-ranking executives. The scandal is reportedly centered around illicit profit-making strategies totaling approximately 400 billion KRW (around 294 million USD). Former CFO Lee Kyung Joon steps down One of the most significant developments in the case was the resignation of Lee Kyung Joon, HYBE 's former Chief Financial Officer. Until recently, Lee also served as an internal director at ADOR, the HYBE subsidiary responsible for managing NewJeans. His sudden exit from the company, coming just as the legal probe gained momentum, has raised red flags among industry observers and the public alike. In what many interpret as a damage-control move, HYBE later allegedly downplayed Lee's involvement by referring to him as a 'general employee.' However, official records from a recent shareholders' meeting clearly indicate that Lee was appointed as an internal director at ADOR. This contradict HYBE's public narrative and further fuel skepticism. Search and seizure targets HYBE headquarters South Korean authorities recently conducted an extensive search and seizure operation at HYBE's main office, signaling a serious escalation in the probe. The investigation centers on allegations that Bang Si Hyuk misled HYBE investors before the company's IPO. He reportedly falsely claimed that there were no immediate plans to go public in 2019. This caused some shareholders to sell their shares, unaware HYBE was secretly preparing for an IPO. The shares were then bought by a private equity fund linked to Bang, with undisclosed financial connections. Prosecutors are believed to be gathering evidence related to HYBE's leadership structure and its investment strategies. They are also examining financial decisions that may have violated corporate law. The probe has intensified amid growing concerns that company insiders may have generated a massive profit of 400 billion KRW at the expense of fair market practice and shareholder trust. Who's Involved? HYBE's leadership includes some of the most powerful figures in the entertainment business: Bang Si Hyuk – Founder and Chairman of HYBE Yoon Seok Joon – Global & Business CEO Park Ji Won – HQ & Management CEO Lee Jin Hyung – Chief Operating Officer Kim Tae Ho – CSO Kim Joong Dong – CIO Lee Kyung Joon – Former CFO All these executives are now under close observation as questions arise about the company's internal ethical governance practices. As the case unfolds, it remains to be seen whether additional resignations or disciplinary actions will follow. Public demand transparency Following the announcement of the investigation, fans and online communities have been vocal in demanding accountability from HYBE's leadership. Many fans, while supportive of the artists under HYBE's management, are urging the corporation to adopt stricter oversight and disclose more details about its financial dealings. Netizens have emphasized that any wrongdoing at the executive level should be thoroughly investigated. They want them to be held accountable, regardless of their rank or reputation.
Pink Villa
13 hours ago
- Business
- Pink Villa
HYBE reacts to sudden raid amid risk of Bang Si Hyuk's arrest in 400 billion KRW stock fraud case, will BTS get impacted?
HYBE chairman Bang Si Hyuk, popularly known as Hitman, was under hot waters for his alleged stock fraud. He was accused of securing profit worth millions of KRW through misleading investors, leading to a search and seizure warrant against him. In recent development to the case, HYBE provided a statement regarding the issue, as reported by Xports News on May 30. However, it remains uncertain whether the case will impact BTS, and if yes, how. HYBE's statement regarding Bang Si Hyuk case A HYBE official addressed the Bang Si Hyuk stock fraud case, and shared the company's stance to Xports News on May 30. They said, "We cooperated with the investigative authorities' request to provide data regarding the actions of a former employee who resigned." According to the statement, it can be inferred that HYBE tried to shift the blame for fraudulent activities from its chairman to a now-resigned employee. They showed confidence in Bang Si Hyuk, by agreeing to assist police in the search and seizure process and shared all data needed for investigation against the ex-employee. About Bang Si Hyuk stock fraud case Bang Si Hyuk and associates allegedly misled investors in 2019 regarding HYBE's (then BigHit Entertainment) IPO plans. Despite informing certain investors of no immediate plans due to unfavorable market conditions, the company had already taken concrete steps towards an IPO by applying for a designated audit. This discrepancy is central to a case involving a substantial 400 billion KRW deal and alleged hidden profits of around 240 million KRW. Will the case affect BTS? BTS is nearing the end of their military service, with SUGA's discharge on June 21. Following their discharge, the group is expected to release new music, potentially dropping a new album within the next couple of months. This would likely be followed by a world tour, possibly kicking off towards early 2026. However, the ongoing investigation into HYBE might cast a shadow over BTS's comeback plans. As the face of the company, BTS could face unwanted scrutiny and criticism from detractors. The investigation might also impact HYBE's ability to plan and promote BTS's comeback effectively, potentially leading to delays or disruptions in their schedule.
Yahoo
16 hours ago
- Business
- Yahoo
HYBE, Home of BTS, Raided in Insider Trading Investigation
The post HYBE, Home of BTS, Raided in Insider Trading Investigation appeared first on Consequence. HYBE, the management company behind BTS and other major K-pop acts, has been raided by prosecutors as part of an insider trading investigation. According to The Korea Times, the Seoul Southern District Prosecutors' Office recently searched the company's headquarters in central Seoul over allegations of an executive using insider information to gain profits of $176,500 (240 million won). This executive is being investigated after he allegedly purchased shares of fellow K-pop agency YG Entertainment's subsidiary YG Plus after learning of HYBE's investment plans in the company. In January 2021, HYBE and its technology subsidiary, Weverse Company, acquired 17.89% of YG Plus in a merchandising and distribution deal. Separately, Bang Si-hyuk, the founder and chairman of HYBE, is under investigation over allegedly defrauding investors ahead of the company's initial public offering in 2020 and pocketing $289 million (400 billion won). In addition to BTS, HYBE is home to TXT, Seventeen, LE SSERAFIM, and other K-pop stars. Popular Posts Billy Joel Diagnosed with Brain Disorder, Cancels All Upcoming Tour Dates Man Wearing Nazi T-Shirt Gets a Beatdown from Fans at Punk Rock Bowling Fest Freddie Mercury's Alleged Child Revealed in New Biography David Lynch's Personal Archive Going Up for Auction The 30 Best Action Movie Stars of All Time, Ranked Is The Who's Farewell Tour in Turmoil? Subscribe to Consequence's email digest and get the latest breaking news in music, film, and television, tour updates, access to exclusive giveaways, and more straight to your inbox.
News18
19 hours ago
- Business
- News18
BTS Agency HYBE Headquarter Raided Over SHOCKING Allegations Of Insider Trading
HYBE manages some of the biggest names in K-pop, including BTS, Tomorrow X Together, LE SSERAFIM, NewJeans, BOYNEXTDOOR, and KATSEYE. HYBE, the powerhouse agency behind global K-pop sensation BTS, is under scrutiny after authorities raided its headquarters in Seoul over shocking insider trading allegations. According to The Korea Times, the Seoul Southern District Prosecutors' Office searched HYBE's office on Thursday as part of an ongoing investigation. The probe centers around a HYBE executive accused of earning illegal profits of 240 million KRW (approximately $175,000) through insider trading. Reports claim the unnamed executive bought stock in YG Plus, an affiliate of HYBE's competitor YG Entertainment, based on confidential information about HYBE's planned partnership with the company. The deal led to a surge in YG Plus' stock price, allowing the executive to allegedly make significant gains. HYBE manages some of the biggest names in K-pop, including BTS, Tomorrow X Together, LE SSERAFIM, NewJeans, BOYNEXTDOOR, and KATSEYE. BTS, the agency's most high-profile act, has achieved global fame with nine platinum records and sold-out stadiums worldwide. But the controversy doesn't end there. In a separate investigation, the Financial Crimes Investigation Unit of the Seoul Metropolitan Police is examining HYBE's chairman Bang Si Hyuk for alleged fraudulent trading dating back to 2019. Authorities allege that Bang misled investors by denying any plans for an IPO, encouraging them to sell their HYBE shares to a private equity fund (PEF) linked to him. At the time, HYBE was secretly preparing to go public. When the company eventually did file for an IPO, Bang reportedly benefitted through a 30% return-sharing deal with the PEF, a transaction not disclosed during the IPO process. The Financial Supervisory Service (FSS) now deems this an act of unfair trading under South Korea's Capital Markets Act. If found guilty and the gains exceed 5 billion KRW (approximately $3.64 million), the offence could lead to life imprisonment or a minimum of five years behind bars. HYBE has responded by stating that all transactions were legally vetted, but the growing controversy is fuelling public concern. First Published:
Time of India
21 hours ago
- Entertainment
- Time of India
aespa's Karina under fire in South Korea — SM Entertainment, fans blamed for dragging HYBE artists into controversy
Karina from the K-pop girl group aespa has been caught in a social media storm after an Instagram post unintentionally sparked political controversy in South Korea. The singer uploaded photos of herself wearing a red and black jacket with the number "2" and captioned it with a single rose emoji. While fans overseas found the post harmless, many Korean netizens quickly linked it to Kim Moon Soo, a presidential candidate associated with the ruling People Power Party. Red is the party's color, and "2" is Kim's assigned candidate number. Swift backlash and late apology The post was taken down within hours, but not before it drew sharp criticism. Karina was accused of subtly endorsing a political figure—something K-pop idols typically avoid due to their widespread influence over young fans. The backlash prompted SM Entertainment to release a statement clarifying that the post had "no political intent." Karina also issued a personal apology through the paid fan app Bubble, stating she never meant to offend anyone. Follower drop sparks more debate In the aftermath, Karina's Instagram followers dropped from 24 million to 23.8 million—a loss of about 200,000. Some attributed the dip to the controversy, while others pointed out that Instagram had recently purged inactive or bot accounts, a trend that affected many other celebrity profiles as well. Several fans noted that the follower count had begun to drop days before the post went live. Damage control: SM Entertainment's media play and fan response As the backlash intensified, some fans began speculating that SM Entertainment was engaging in "media play" to deflect attention. Older, unrelated news involving HYBE, its artists, and HYBE Chairman Bang Si-Hyuk began circulating on Korean media platforms—despite offering no substantial updates. Fans noted the suspicious timing, suggesting these articles were resurfaced deliberately to shift focus away from Karina. huh?? 😲 the minute sm's golden girl's in hot water, suddenly chaewon's pic is front and center in an article that's not even about her. and they're digging up stuff that's been public for ages. like be serious. do they think we're that dumb to not know this is contrived The Financial Supervisory Service has stated that recent reports alleging fraudulent transactions by Bang Si-Hyuk are unfounded and confirmed that no such investigation is Meanwhile, aespa's fans—known as MYs—rallied on X (formerly Twitter), launching a campaign highlighting other idols who have also used the peace sign, arguing that similar gestures had gone uncriticized. Karina posting in support of a conservative party in korea and the members of the party showing support to aespa in return. Ntm aespa fans sold out the jacket. Karina and her fans both dumb and stupid as fuck However, fans of HYBE artists responded strongly, accusing MYs of spreading "false equivalencies." They insisted Karina's apology should have been posted on Instagram—where the controversy originated—rather than on Bubble, a paid fan communication app. Some users also noted that Karina's statement regarding her dating news was more extensive than her current apology, further fueling dissatisfaction. Bye she wrote better apology for dating then for showing she support far-right wing 💀I know what you are Karina Despite diverging opinions, one thing is clear: the incident has opened up wider conversations about idol accountability, fan behavior, and the complicated intersection of pop culture and politics in South Korea. For all the latest K-drama, K-pop, and Hallyuwood updates, keep following our coverage here.
