Key Takeaways
- Reportedly, Kim & Chang’s lawyers also visited Montenegro to meet with Kwon and Terraform’s former chief financial officer, Han Chang-joon.
- Sending money to lawyers at Kim & Chang before the crash hints that Do Kwon was aware that the implosion would take place and expected legal problems,
New Concerning reports keep spiking up in the Do Kwon Terraform Labs CEO saga. As per a latest report, the South Korean prosecutors had now revealed Terraform Labs CEO Do Kwon sent $7 billion to a leading South Korean law firm Kim & Chang right before the Terra collapse unfolded on May 9, 2022
“The prosecution, which was tracking the flow of funds from Terraform Labs’ headquarters in Singapore, found that a total of about 9 billion won had been remitted to Kim & Chang several times right before the crash.”, a local media report reads.
Reportedly, Kim & Chang’s lawyers also visited Montenegro to meet with Kwon and Terraform’s former chief financial officer, Han Chang-joon. As per KBS news, sending money to lawyers at Kim & Chang before the crash hints that Do Kwon was aware that the implosion would take place and expected legal problems,
Prosecutors are currently probing the source of the funds he transferred to the law firm. Last month, Do Kwon, accused of orchestrating a multi-billion-dollar fraud, was arrested in Montenegro. A U.S. indictment announced last month charged Do Kwon with two counts each of securities fraud, wire fraud, commodities fraud, and conspiracy.
South Korea has stated that it wants to extradite him from Montenegro. Kwon has been charged with fraud and breaches of South Korea’s capital markets law. He said in October that he didn’t believe the charges were legitimate and claimed they were “politically motivated.”
Kwon and five others linked to Terraform are wanted for fraud and the implosion of its digital currencies in May 2022. Following the implosion of Terra in May last year, almost $40bn in market value was erased for the holders of TerraUSD and its floating sister currency, Luna.
The latest development also comes amid the South Korean prosecutors identifying $314.2 million in illicit assets linked with Do Kwon and his associates. Out of the identified illegal assets, prosecutors have linked $69 million of the specified amount directly to Kwon.
