SANTA MONICA, CALIFORNIA – AUGUST 28: Bang Si-Hyuk, Chairman of HYBE speak onstage as HYBE x Geffen Records Announce Contestants for Forthcoming Global Girl Group on August 28, 2023 in Santa Monica, California. (Photo by Vivien Killilea/Getty Images for HYBE x Geffen Records)
Getty Images for HYBE x Geffen Records
HYBE founder and chairman, Bang Si-hyuk, is returning to Seoul to cooperate with authorities investigating allegations of insider trading related to the company’s first public offering in 2020.
Bang, who is currently in the U.S. on business, says in a leaked internal email sent this morning (around 9 a.m. KST) to all HYBE employees – including BigHit, BeLift Labs, Source Music, ADOR, KOZ Entertainment, and Pledis Entertainment- that he regrets having these events overshadow the company and artists’ hard work. He vows to return to Seoul and make things right.
Sent by a source with connections to the company, the email discusses Bang, who has been focused on BTS’ reunion and other HYBE artists overseas, and his concerns over allegations affecting company employees, who should be “focused solely on their creative and professional goals.” He promises to address these allegations himself to alleviate any stress, anxiety, concerns, or confusion to the company and its staff.
Check out the full email sent below, translated in English:
To the HYBE team
Over the last year, much has been said and written about me in the press. Increasingly, I believe these events are causing confusion and concern for you, as well as our artists, fans, and partners.
As founder and chairman, I feel a deep sense of responsibility to do everything in my power to ensure nothing takes away from the hard-earned attention and praise your work continues to receive. I care deeply for what we do and have immense respect for everyone at HYBE who has worked tirelessly to elevate K-pop and Korea’s place in global culture. It’s extremely unfair that these events should overshadow your efforts. That’s why I will return to Korea to fully and transparently work with investigators and put these allegations to rest.
HYBE was the starting point of a journey to realize my ideals and dreams as a creator. From the beginning, we sought to create an environment where creatives and artists could fully express their unique voices and freely pursue their dreams. What began as a simple hope has become the foundation for artists, creators, and so many others in the industry. I’m deeply grateful that this dream has resonated with people everywhere. That’s why these past few months have been so painful. I’ve tried to remain cautious with my words out of respect for ongoing legal proceedings, yet it has been difficult not to respond to these allegations. While I’ve instead focused on supporting BTS and other HYBE artists and advancing key business opportunities overseas, my continued time abroad has been prolonged. I understand how my absence may have contributed to confusion and frustration.
By returning to Korea, it will be easier for me to fully cooperate with authorities to address these allegations and alleviate any stress or anxiety these events have caused our community. In particular, I feel a deep sense of regret knowing that our members and artists, who should be focused solely on their creative and professional goals, might be suffering because of this situation. I am committed to a swift resolution to these matters, so that you may focus on what you do best: creating and sharing entertainment and culture that resonates around the world.
While I navigate these events at home, I want to express my infinite appreciation to all of you at HYBE who have continued to produce only the highest quality work. Our team’s devoted efforts, our creators’ passion, and our artists’ talent are HYBE’s most powerful growth engine and the bedrock that sustains our company.
Your work is what carries HYBE forward. Thank you for giving your best every day—I will do the same.
Sincerely,
Chairman Bang
Bang and other executives have been accused of misleading early investors, persuading shareholders to sell their stakes to a private equity firm set up by HYBE associates. Bang allegedly received 30% of the profits (nearly 400 billion Korean won, approximately $288 million today) following the IPO.
The company is also facing a separate tax investigation over alleged fraudulent securities transactions and tax evasion connected to their IPO from the National Tax Service.
The HYBE offices in Seoul were raided two weeks ago by the Seoul Metropolitan Police Agency’s Financial Crime Investigation Division on a search warrant issued on July 17. HYBE has denied any wrongdoing, stating that its IPO plans were never concealed and were openly discussed with investors.
HYBE declined a request for comment on the email and Bang’s plans to return.
