Montenegrin court ruling extradits Kwon Do to the U.S. due to TerraUSD collapse
The post Mr. Do Kwon will be extradited to the US due to TerraUSD collapse, Montenegro court rules appeared first on Coinpedia
February 22, 2024 In a recent case reported by the Wall Street Journal, a Montenegrin court ruled that notorious cryptocurrency entrepreneur Do Kwon should be extradited to the United States to stand trial on fraud charges, while his native country Korea was dismissed as a target for repatriation. location.
Details of Montenegro’s extradition ruling
Montenegro’s Podgorica High Court issued a ruling mandating Mr. Do Kwon’s extradition to the United States, and this decision is currently facing a three-day appeal period for Mr. Kwon’s lawyers. The ruling follows Kwon’s arrest at Podgorica Airport in March 2023 while trying to board a private jet bound for Dubai with a fake Costa Rican passport.
The U.S. Department of Justice charged Do Kwon with eight counts of fraud for allegedly misrepresenting and misleading investors into believing the stability of TerraUSD. The Securities and Exchange Commission also filed a civil suit against Dokwon and Terraform Labs on charges of securities fraud.
In addition to the U.S. indictment, South Korean prosecutors also indicted Kwon on charges of violating the Capital Markets Act. Mr. Kwon’s domestic arrest warrant dates back to September 2022.
Following the Montenegrin court’s decision, Kwon is likely to face a fraud lawsuit from the SEC, and the trial is scheduled to begin on March 25.
Terraform Labs CFO delivered
A related incident occurred two weeks ago, on February 5th, when the Montenegrin authorities repatriated former Terraform Labs CFO Han Chang-jun and Mr. Do Kwon to Korea. Arrested in March 2023, they were sentenced to four months in prison in Montenegro. Han Chang-jun is currently likely to be sentenced to life in prison in South Korea.
Both the United States and South Korea have indicted Kwon on charges related to the collapse of TerraUSD and Luna in May 2022, which caused massive losses of $40 billion to the cryptocurrency market and affected investors and traders around the world. Kwon, who created TerraUSD and Luna, faces eight criminal charges for fraud, according to federal prosecutors in New York.
