Kwon Do-hyung has been accused of fraud over his firm Terraform Lab’s dramatic collapse final yr, which worn out about $40 billion of buyers’ cash and shook international crypto markets.
(Reuters Archive)
South Korea will search the extradition of fugitive crypto entrepreneur Do Kwon, prosecutors have stated, after the Terraform founder was arrested in Montenegro and hit with US fraud costs.
In South Korea, the place Kwon is needed for violations of the nation’s capital markets act, authorities confirmed Friday that they might search his extradition.
“South Korean prosecutors will take steps to repatriate Kwon Do-hyung. We are working on the process,” Kim Hee-kyung, a spokesperson for the Seoul Southern District Prosecutors’ Office, advised AFP.
Kwon, whose full title is Kwon Do-hyung, has been accused of fraud over his firm Terraform Lab’s dramatic collapse final yr, which worn out about $40 billion of buyers’ cash and shook international crypto markets.
The 31-year-old was arrested on the Podgorica airport in Montenegro on a South Korean warrant, the nation’s inside ministry stated on Thursday.
Shortly after, the United States charged him with eight counts, together with securities fraud and wire fraud, which adopted a lawsuit by the US Securities and Exchange Commission.
Kwon reportedly flew from South Korea to Singapore forward of the corporate’s crash in May final yr.
In September, Seoul prosecutors requested that Interpol place him on the crimson discover listing throughout the company’s 195 member nations, and in addition revoked his passport.
But questions on his whereabouts intensified after the Singapore Police Force stated that he was not within the nation.
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Montenegro arrests suspected crypto fugitive Do Kwon over $40B ‘fraud’ case
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Montenegro authorities stated on Thursday that Kwon had “used falsified travel documents from Costa Rica” throughout passport management for a flight to Dubai.
Inspection of their baggage additionally discovered journey paperwork from Belgium and South Korea, whereas Interpol checks found that Belgian paperwork had been cast, Montenegro’s inside ministry added.
Many buyers misplaced their life financial savings when Kwon’s Luna and Terra entered a loss of life spiral, and South Korean authorities have opened a number of felony probes into the crash.
South Korea’s National Police Agency stated it will collaborate with the nation’s prosecutors as they search Kwon’s extradition.
“As an organisation that works closely with the Interpol, we will actively cooperate with the Seoul Southern District Prosecutors’ Office,” Jeong Beom-seok, an official from the National Police Agency, advised AFP.
Cryptocurrencies have come below growing scrutiny from regulators throughout the globe following a string of current controversies, together with the high-profile collapse of the change FTX.
Kwon is accused of “orchestrating a multi-billion-dollar crypto asset securities fraud”, in response to the US Securities and Exchange Commission.
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Source: TRTWorld and companies
Source: www.trtworld.com
