Saturday, January 21, 2023
HomeCryptocurrencyTerra (LUNA) Founder Do Kwon Issued “Notice upon Arrival” By Korean Ministry...

Terra (LUNA) Founder Do Kwon Issued “Notice upon Arrival” By Korean Ministry of Justice: Details

As a report has it, the Seoul Southern District Prosecutor’s Joint Financial Crimes Investigation Team director, Dan Sung-han, has asked the Ministry of Justice to issue a “notice upon arrival” for Do Kwon, the founder and CEO of Terraform Labs, the company behind the development of the collapsed TerraUSD (UST) and Terra (LUNA). He currently resides in Singapore.

Dan Sung-han also requested a departure ban for Timon Board Chairman Shin Hyun-Seong, who also co-founded Terraform Labs. Current and former executives of the firm are also not left out of the investigation. According to the report, the request has been approved by the Ministry of Justice.

We Are On Twitter: Follow Us

The South Korean prosecutors, which are investigating the collapse of TerraUSD (UST) and Terra (LUNA), have reportedly launched a forced investigation into the issuer of the tokens, Do-Hyung Kwon.

Do Kwon’s Accusations

Going by the report, Terraform Labs CEO Do Kwon is accused of issuing cryptocurrencies without letting investors know that the prices of the digital currencies, UST and LUNA, could crash.

Kwon and others involved in the development of UST and LUNA are also accused of violating the pseudo-receipt law of ‘blocking’ the investment by telling investors to buy LUNA tokens and stake them for the interest of about 20%.

Read Also: Hacktivist group Anonymous Vows to Expose Do Kwon over Terra (LUNA) Collapse: Details

Although the Co-founder Shin Hyun-Seong was also accused of the same, his position was not related to the current situation because he ended the partnership with Kwon in March 2022, the report stated.

<

On the 20th of July, prosecutors seized and searched 15 places, including Shin’s home and seven local crypto exchanges. At the moment, prosecutors are analyzing the transaction details of UST and LUNA via a search and seizure in the domestic exchange.

According to the report, early investors and affiliates of Terraform Labs (TFL) were also included in the search and seizure targets. Once the analysis of the confiscated material is complete, officials will commence the investigation.


Follow us on Twitter, Facebook, Telegram, and Google News

Solomon Odunayo
Solomon Odunayo
Solomon is a trader, crypto enthusiast, and analyst with over four years of experience in the industry. He strongly believes that crypto assets and the blockchain will continue to gain prominence. At TimesTabloid.com, he focuses on news, articles with deep analysis of blockchain projects, and technical analysis of crypto trading pairs.
RELATED ARTICLES

Latest News & Articles

Recent Comments