Podgorica High Court Rules to Extradite Terraform Labs Co-Founder Do Kwon to South Korea
Summary:
The High Court in Podgorica has ruled to extradite Terraform Labs co-founder, Do Kwon, to South Korea instead of the United States. The decision can still be appealed, following an extradition request from South Korea in March 2023. Kwon has been incarcerated in Montenegro since his apprehension while allegedly attempting to travel with a fake passport. Co-accused, Terraform Labs' CFO, Han Chang-joon, was extradited to South Korea in February. The company filed for bankruptcy in the U.S. after it collapsed in May 2022. Kwon faces potential legal repercussions in multiple countries.
Do Kwon, the co-founder and ex-CEO of Terraform Labs, is set to be extradited to his homeland, South Korea, as per a judgment by the Podgorica High Court in Montenegro, various news outlets report. However, this verdict can still be contested. In a reversal of the High Court's original mandate on March 5 to extradite Kwon to the United States, an appellate court referenced "major breaches in criminal procedure regulation." South Korea had tendered an extradition demand in March 2023, which was initially denied in favor of an earlier submission from the United States. Kwon has been detained in a Montenegrin jail since his apprehension at Podgorica airport while allegedly attempting to travel to Dubai with a counterfeit Costa Rican passport. As per The Wall Street Journal, a local informant had alerted the authorities about Kwon a day before his planned departure.
It's noteworthy that Kwon had previously indicated a preference to be extradited to South Korea, as cited by the WSJ. The alleged reason was his wish to be close to his family, with his legal representatives questioning the legitimacy of the treaty that would allow his extradition to the United States. South Korea purportedly threatens him with a 40-year prison sentence. Kwon's legal team had asked for his US trial to be postponed until after his extradition; the United States Securities and Exchange Commission concurred, proposing a delay till at least March 18. Both Kwon and Terraform Labs are facing charges from the SEC.
According to @BSCNews on X, Han Chang-joon, the CFO of Terraform Labs who was arrested with Kwon, was extradited to South Korea in February. Terraform Labs had filed for Chapter 11 bankruptcy in the United States on January 21. Following the collapse of Terra stablecoin and LUNA governance token issuer in May 2022, Kwon was missing in action until his arrest in Montenegro though he kept a digital footprint with over a million followers on X. Kwon and Han had reportedly relocated to Serbia from South Korea and started a consultancy, despite an Interpol "red notice" for Kwon.
Published At
3/7/2024 10:01:48 PM
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