Terraform Labs CEO Do Kwon Faces Arrest Warrant In South Korea

Terraform Labs CEO Do Kwon Faces Arrest Warrant In South Korea

Terraform Labs Co-founder and CEO Do Kwon and five others are reportedly facing arrest warrants issued by prosecutors in South Korea. The prosecutors allege that Kwon and his co-accused violated the capital markets law of the land. In addition to the arrest warrant, prosecutors are reportedly likely to request an Interpol Red Corner Notice for the Terraform Labs Chief Executive Officer.

Terraform Labs Executives Accused of Violating South Korean Capital Markets Law

Prosecutors in South Korea have reportedly issued an arrest warrant for Terraform Labs Co-founder and Chief Executive Officer Do Kwon. The prosecutors allege that Kwon and five other Terraform Labs executives have violated the capital markets law of the land, among other charges.

Choi Sung-Kook, a prosecutor at the Seoul Southern District Prosecutors’ Office, is quoted in a report by Forkast News confirming the issue of the arrest warrant. However, according to the report, Sung-Kook is not willing to reveal the other charges that have been leveled against Kwon and his partners in the case.

South Korean prosecutors have been investigating Kwon and his associates since the spectacular collapse of the cryptocurrency LUNA (now LUNC) and the once-stable coin UST (now USTC). However, no arrest warrant had been issued against the Terraform Labs CEO and his partners.

Interpol Red Corner Notice

The Nikkei Asia also quotes an unnamed "spokesperson for prosecutors," confirming the issuing of an arrest warrant for six people.

"An arrest warrant has been issued for a total of six people, including Do Kwon, who is currently residing in Singapore," the spokesperson is quoted saying.

Besides Kwon, the Forkast News report identified the former Head of Research at Terraform Labs, Nicholas Platias, and the CEO of Chai Corporation, known as "Han" as the two other wanted individuals.

In addition to the arrest warrant, South Korean prosecutors reportedly said they will seek an Interpol Red Corner Notice for Kwon. Reports of South Korean prosecutors issuing an arrest warrant for Kwon and five others follow days after the price of LUNA 2.0, the successor to Luna, surged by more than 200% in 24 hours.