-- Shares of Hybe (KRX:352820) fell nearly 3% to 2,48,000 won in Tuesday morning trade after the Seoul Metropolitan Police Agency sought to arrest the entertainment giant's founder Bang Si-hyuk on charges of misleading early investors before the company's initial public offering in 2020.
Bang has also been accused of concealing profit-sharing arrangements tied to a private equity fund, Bloomberg reported Tuesday.
Authorities suspect Bang made about 190 billion won in illicit gains. Bang denies any wrongdoing, according to the report.
The probe, referred to by the Financial Services Commission last year, has raised concerns related to governance, it said.
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