Montenegro's Prosecutors Challenge Extradition of Terraform Labs Co-Founder Do Kwon
Summary:
Co-founder of Terraform Labs, Do Kwon, may avoid extradition to South Korea due to Montenegrin prosecutors challenging the process. This could elevate the case to Montenegro's Supreme Court. Prosecutors claimed procedural violations by the appellate court rejecting Kwon's appeal, stating that only the Supreme Court should rule. Previously, Kwon seemed likely to be extradited to South Korea, where participants in cryptocurrency crimes are facing severe penalties. Currently in Montenegrin custody due to using false travel documents, Kwon faces extradition requests from both the US and South Korea.
Co-founder of Terraform Labs, Do Kwon, is possibly not going to be sent to South Korea to answer criminal charges, following a dispute by the prosecutors of Montenegro that may direct the case to the nation’s highest court. On March 21, the prosecutors revealed that they appealed for protection of legality to the Supreme Court of Montenegro after a plea to cease Kwon’s extradition to South Korea. According to this plea, procedural infractions were made during the appellate court's dismissal of an appeal from Kwon's legal defence. The prosecutors maintained that only the Supreme Court possesses the authority to decide legally in this particular case.
The courts of Montenegro have been deliberating over whether to authorize Kwon's extradition to the United States or South Korea, where he might confront criminal charges linked to his involvement in the collapse of Terraform Labs. After a resolution on March 20, it looked like Kwon was going to be extradited to South Korea. However, the prosecutors hinted that the Supreme Court has the capacity to pass a judgment that could modify the verdict of the court.
The prosecutors stated, in a translation of their statement, that “the court, against the law, undertook shortened instead of standard proceedings. It went beyond its assigned authority to decide on the extradition permit, an ability exclusively for the Minister of Justice.”
Do Kwon, who holds South Korean nationality, seems to have chosen being extradited to his home country over the US. After Terra crumbled in 2022, the South Korean government has been imposing severe penalties on people involved in crimes related to cryptocurrency. In America, eminent personalities of the crypto domain such as Sam Bankman-Fried, Changpeng Zhao, and Alex Mashinsky, associated with FTX, Binance, and Celsius respectively, have either been charged, admitted guilt, or will face criminal charges at court.
In March 2023, Kwon was taken into custody in Montenegro for utilizing falsified travel documents and was later sentenced to a four-month imprisonment term. He is still under custody as the nation considers extradition requests from the US and South Korea.
In addition to this, the South Korean authorities have indicted several individuals linked to Terraform Labs, including its co-founder Hyun-seong Shin. Terra's previous CFO, Han Chang-joon was captured in Montenegro at the same period as Kwon, but was extradited to South Korea in February.
Published At
3/21/2024 10:32:00 PM
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