South Korean police have referred HYBE Chairman Bang Si-hyuk to the Seoul Southern District Prosecutors’ Office with a recommendation for indictment on Capital Markets Act charges over alleged investor fraud linked to the company’s listing. Investigators say that from 2019 Bang misled then–Big Hit Entertainment shareholders by indicating there were no immediate plans to go public, prompting sales to private equity funds shortly before HYBE’s October 2020 KOSPI IPO, after which the funds sold the shares. Police put total undue profits for Bang and associates at about 263.1 billion won, including 156.8 billion won for Bang personally, and a court approved a pre-indictment asset preservation order for the full amount; earlier accounts also described a side deal in which a fund may have paid Bang around 200 billion won ($147 million) with a promise of 30% of post-IPO stock-sale profits. Other HYBE executives and private equity officials were referred as well—prior accounts cited five other HYBE executives, while some reports said four additional people. Police sought Bang’s arrest twice in April and May, but prosecutors rejected those requests. Bang’s legal team denies wrongdoing and says the allegations will be resolved through the legal process. Former HYBE chief investment officer Kim, said to have led the scheme, left for the United States ahead of a raid and remains subject to an arrest warrant and an Interpol Red Notice request. Observers say prosecutors could again seek further investigation rather than indict immediately, as attention has returned with BTS’s post-military world tour.