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HYBE Raided by Police Amid Fraud Allegations
In a development that has rocked the K-pop industry, HYBE was raided by South Korean police on Thursday as part of a high-profile investigation into alleged fraudulent trading involving its founder, Bang Si-hyuk. The news that HYBE was raided sent shockwaves through the fan community and financial markets, as the label behind global sensation BTS finds itself under intense scrutiny.
According to officials, authorities conducted a search and seizure at HYBE’s headquarters in Yongsan District, Seoul, following suspicions surrounding HYBE’s 2020 initial public offering (IPO). This action is part of a broader inquiry into alleged stock manipulation and misleading practices directed at early investors.
Bang Si-hyuk Under the Microscope: HYBE Raided for IPO Fraud Probe
At the center of this investigation is Bang Si-hyuk—also known as “Hitman” Bang—who is widely credited with creating BTS and shaping HYBE into a K-pop powerhouse. Investigators allege that Bang misled early stakeholders about the company’s plans to go public.
In 2019, he reportedly informed early investors that there were no immediate plans for an IPO. However, soon after, HYBE (formerly BigHit Entertainment) filed for public listing. Those same investors were allegedly encouraged to sell their pre-IPO shares to private equity firms—moves that were potentially based on false assurances.
When HYBE officially went public in 2020, those private equity firms reaped massive profits—reportedly sharing a portion of those gains with Bang through secret agreements. The fraud is estimated to be worth nearly 200 billion won (approximately $146 million USD).
HYBE Denies Wrongdoing as Investigation Deepens
Despite the serious nature of these allegations, HYBE has strongly denied any legal violations by its founder or the company itself. In a public statement released earlier this month, the company insisted that their IPO process adhered to all financial regulations and was carried out lawfully.
“We will dutifully clarify that the listing at the time was carried out in compliance with all relevant laws and regulations,” a HYBE spokesperson said. “We are committed to active cooperation with authorities.”
As HYBE was raided, financial analysts and entertainment insiders began raising questions about corporate transparency and governance at one of South Korea’s most influential entertainment companies.
BTS Comeback Plans Unshaken Despite HYBE Being Raided
The HYBE raid comes at a pivotal moment for BTS. All seven members are currently completing their mandatory military service, with plans for a full-group comeback already in motion. Earlier this month, HYBE announced that BTS would release a new album in 2026, followed by a global stadium tour.
Despite the scandal surrounding the company, fans—known as ARMY—remain hopeful that BTS’s return will not be overshadowed. Industry experts also suggest that while the HYBE brand may suffer reputational damage, the loyalty of BTS fans is unlikely to waver.
“HYBE’s legal troubles are serious, but BTS is a separate cultural force,” noted one music analyst. “Their comeback is already being positioned as one of the biggest events in K-pop history.”
Fan Reactions as HYBE Raided: Shock, Support, and Speculation
As news broke that HYBE was raided, fans took to social media to share their thoughts and concerns. Many expressed disbelief that such a scandal could involve the home of BTS, a group known for its positive image and values.
“I can’t believe HYBE is under investigation like this. Just hoping BTS stays protected,” one fan tweeted.
Others showed support for the company and its founder, urging people not to jump to conclusions before the investigation is complete.
“Bang PD built BTS from nothing. We need to wait for the facts,” another user wrote on an ARMY fan forum.
Meanwhile, some expressed skepticism, pointing out the timing of the scandal just as BTS is gearing up for a historic comeback.
“Feels like HYBE being raided is a setup to damage their 2026 plans. Very suspicious timing,” one fan speculated.
HYBE’s Economic Influence: A Corporate Giant Under Fire
HYBE is not just a music label; it’s a major player in South Korea’s economy. Prior to BTS’s enlistment, the group reportedly generated over 5.5 trillion won (approximately $4 billion USD) annually—contributing about 0.2% to South Korea’s GDP, according to the Korea Culture and Tourism Institute.
Their influence spans streaming platforms like Spotify—where BTS holds the record as the most-streamed group—to global charts, brand endorsements, and philanthropic efforts. The HYBE raid thus has significant implications, not just for the company and fans, but also for the country’s entertainment economy.
Military Service and the Road to 2026
The HYBE raid adds another layer to the ongoing discussion about BTS’s military service and how it has affected both the group’s timeline and the company’s financials.
Despite calls from lawmakers and fans to grant BTS exemptions—similar to Olympic athletes or classical musicians—South Korea ultimately held firm on its policy. BTS members began enlisting individually starting in 2022 and are expected to regroup in 2025, with major projects dropping in 2026.
In our view, the fact that HYBE is focusing on long-term comeback strategies while navigating a legal crisis shows how deeply entwined the company’s fate is with BTS’s legacy.
Final Thoughts: What the HYBE Raid Means for K-pop’s Future
As a K-pop fan and observer, this entire situation surrounding HYBE being raided is unsettling. It raises serious concerns about transparency in the entertainment business, especially when public trust and investor confidence are at stake.
At the same time, it’s important to separate legal proceedings from the creative efforts of artists. BTS remains an icon of positivity, hard work, and social impact—none of which should be overshadowed by alleged corporate misconduct.
In our view, HYBE now faces a critical test: to emerge from this scandal with integrity and clarity. As fans, all we can do is support BTS and hope for truth and fairness in the investigation.