Do Kwon, the founder of Terraform Labs, whose crash earlier this year prompted a global crypto meltdown, has an arrest order issued by a court in South Korea.
According to a text message to Bloomberg from the prosecutor’s office, Do Kwon and five other people are wanted by the Seoul court on suspicion of breaking the country’s capital markets law.
The news was also posted on Bloomberg Crypto’s Twitter page, a Twitter account set up specifically to cover crypto-related events.
BREAKING: South Korea issues an arrest warrant for crypto firm founder Do Kwon as it probes alleged illegal activity behind collapsed stablecoin TerraUSDhttps://t.co/7Ahn0SipCe pic.twitter.com/rcieujKhw5
— Bloomberg Crypto (@crypto) September 14, 2022
Notably, the breach of Korean capital market regulations, which is thought to have led to the catastrophic crash of the Terra project, is the basis for the warrant to arrest Kwon and the other five people.
According to Bloomberg, Do Kwon, the founder of Terraform Labs, was issued an arrest warrant by a South Korean court. His $40 billion wipeout earlier this year was the catalyst for a global crypto crash.
According to South Korean media, South Korean authorities issued a one-year warrant for Do Kwon’s arrest. He is presently living in Singapore. Interpol will issue red notices to apprehend Kwon, Terraform Labs co-founder Nicholas Platias, and others.
Recall that Kwon and other senior TFL executives have been the subject of in-depth investigations in the US and South Korea since the Terra project’s implosion.
South Korea had to reactivate a special crime unit, concentrating on looking into the Terra event and other cryptocurrency-related crimes.
Kwon has maintained his innocence despite the extensive investigation into the Terra collapse, saying that he is devoted to rebuilding Terra to make up for investors’ losses and would like not to be distracted.
Follow us on Twitter, Facebook, Telegram, and Google News
