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Photo courtesy of Yonhap News |
[Alpha Biz= Paul Lee] South Korean prosecutors have once again rejected an arrest warrant request for Bang Si-hyuk, citing insufficient supplementary investigation by police in a case tied to alleged fraud ahead of an IPO.
On May 7, the Seoul Southern District Prosecutors’ Office said it denied the warrant request resubmitted by police, noting that previously requested follow-up investigation measures had not been adequately carried out.
Bang is accused of engaging in fraudulent and unfair trading practices under the Capital Markets Act, allegedly misleading investors to induce share sales prior to an initial public offering.
Police had reapplied for the warrant just six days after an initial rejection, claiming to have completed additional investigation. However, the prosecution maintained that key issues remained unresolved.
The repeated rejection highlights a growing divergence between investigative authorities over whether to detain Bang. Police declined to comment on the latest decision.
The case has drawn attention given Bang’s role in building HYBE into a global K-pop powerhouse. Allegations tied to the IPO process are particularly sensitive, as they could directly impact shareholder value and corporate credibility.
Observers are closely watching whether further supplementary investigations will address prosecutors’ concerns and lead to renewed legal action.
Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
