Terraform Labs Co-Founder Battles Extradition Verdict in Montenegro Court
Summary:
Terraform Labs' co-founder, Do Kwon, has challenged a Montenegrin court's decision that could lead to his extradition. Lawyers lodged a formal appeal against the extradition verdict on Dec. 6. Kwon may potentially be extradited to the U.S. or South Korea, depending on a ruling by the Montenegrin Ministry of Justice. Kwon and the ex-CFO of Terraform Labs were arrested earlier this year for travelling with fake documents. The ordeal followed a lawsuit against Kwon and Terraform labs by the U.S. Securities and Exchange Commission for alleged involvement in a multi-billion dollar crypto asset securities fraud.
The co-founder of Terraform Labs, Do Kwon, has made his ultimate bid to contest a verdict from a Montenegrin court that could lead to his extradition out of the country. State media outlets reported on Dec. 6 that Kwon's legal team made a formal plea against the High Court of Podgorica's Nov. 24 judgement, which sanctioned Kwon's extradition to either the U.S. or South Korea, to await the final call from the Montenegrin Ministry of Justice. The Ministry is now tasked with revisiting the original extradition command. A concluding decision on the issue is expected to be made by Dec. 15. As detailed in a Nov. 24 declaration from the Podogrica High Court, Kwon voiced his preference to be extradited to South Korea, instead of the U.S., to which he willingly consented. Kwon's legal team responded to the initial U.S.'s extradition demands on Sept. 28, assuring that deportation of the embattled co-founder before Oct. 13 was impractical, given his ongoing incarceration in Montenegro. Relevant: The Terraform Labs jury should not be asked to establish if cryptocurrency is a security, says the SEC. The U.S. Securities and Exchange Commission filed a lawsuit against both Terraform Labs and Kwon on Feb. 17, accusing them of “spearheading a crypto asset securities fraud worth several billions.” They tweeted about charging the Singapore-based Terraform Labs, along with Do Hyeong Kwon with fomenting a multi-billion crypto asset securities fraud involving an algorithmic stablecoin and other crypto asset securities.
Kwon and ex-chief financial officer of Terraform Labs, Han Chong-joon, were taken into custody on March 23 at the Podgorica airport for bearing tampered travel documents while attempting to leave for Dubai. On June 15, Kwon was later put into extradition hold in Montenegro and was commanded to serve a six-month imprisonment as the court deliberated his extradition either to the U.S. or South Korea. Magazine: U.S crypto regulations draft driven by legislators’ apprehension and uncertainty.
Published At
12/7/2023 3:40:51 AM
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