On July 16 (Korean time), the Korean Financial Services Commission (FSC) will summon the Securities and Exchange Commission (SFC) to decide on the level of discipline for Bang Si Hyuk, Chairman of HYBE (BTS's management unit), who is suspected of participating in fraudulent transactions under the Capital Market Act.
The Capital Market Investigation Committee, a consulting agency of SFC, held a meeting on July 7 and decided to propose prosecuting Bang Si Hyuk, and forward their opinion to SFC.
Despite being given an opportunity to explain, Bang Si Hyuk is said to have chosen not to attend the hearing, expressing his intention to focus on his defense during the prosecution phase.
Bang Si Hyuk was questioned by the Financial Supervisory Authority (FSS) at the end of last month over the allegations. HYBE also issued a statement, saying, "We are actively cooperating with both the financial institution and the investigation agency by submitting detailed explanations and related documents."
The company emphasized, "Although it may take time, we will clearly demonstrate that the IPO process has complied with all legal procedures and regulations."
The SFC is an independent Commission under FSC that has the authority to decide on administrative sanctions (such as fines) or whether to file an official criminal complaint for prosecution.
