HYBE chairman referred to prosecution over alleged unfair trading

Financial authorities referred Bang Si-hyuk, chairman and founder of K-pop powerhouse HYBE, to the prosecution over alleged fraudulent securities transactions related to the company's listing, officials said, Wednesday. The Securities and Futures Commission (SFC) under the Financial Services Commission (FSC) decided to forward the complaint against Bang and three former HYBE officials for their alleged violation of the Capital Markets Act regarding the company's initial public offering (IPO). Bang is accused of misleading investors, including venture capital firms, in 2019 into believing that HYBE's IPO would be delayed and inducing them to sell their shares to a special purpose company (SPC) established by a private equity fund created and funded by HYBE executives. Investors sold their shares to the SPC, but financial authorities determined that HYBE was, at the time, already in the process of preparing for its listing. After the company went public, the SPC sold its shares, and Bang reportedly received 30 percent of the profit from the share sale in accordance with a prior shareholderWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times