Terraform Labs co-founder Do Kwon will be extradited and detained in Montenegro, Radio Free Europe (RFE) regional edition reported. He also faced questions about his relationship with local politicians.
A spokesperson for the Montenegro High Court told Radio Free Europe that Kwon was ordered to be detained for six months while the court rules on South Korea's extradition request against him. A Seoul court issued an arrest warrant for Kwon in September. called "the lar gest financial fraud or financial securities fraud in South Korea's history."
The US is also seeking the extradition of Kwon to face charges from federal prosecutors and the SEC. The Montenegro Lower Court is scheduled to hold a hearing on June 16 charging Kwon and former Terraform Labs chief financial officer Han Chong-joon with falsifying travel docu ments . They were arrested at the airport in Podgorica, Montenegro, on March 23 as they were trying to depart for Dubai. Kwon is also expected to be questioned by the state special prosecutor's office about his relationship with politician Milojko Spajić. In a letter sent to Several officials days before Montenegro's latest round of elections, Kwon claimed to have had contact with Europe Now leader Spajic.
Spajić has denied ties to Kwon, but the country's news outlets have heavily reported their alleged connections and possible financial contributions from Kwon. A bail of 400,000 euros ($436,000) each proposed by lawyers for Kwon and Chong-joon was in initially granted, but that The decision was overturned on the appeal before the appeal was dismissed.
Terraform Labs' Terra ecosystem collapses in May 2022 with an estimated loss of up to $40 billion.
