Victory For Do Kwon? Montenegro’s Newest Ruling Reverses Extradition To South Korea

Montenegro, caught within the crossfire of extradition battles between the USA and South Korea, has lately witnessed a major flip of occasions within the case of disgraced crypto mogul Do Kwon. 

After a Montenegrin enchantment courtroom rejected his extradition to the US, Montenegro’s Supreme Courtroom overturned earlier decisions to extradite Kwon to South Korea, Bloomberg lately reported. 

This improvement has bolstered US efforts to prosecute the previous crypto mogul for fraud associated to the collapse of the TerraUSD stablecoin in 2022. Nonetheless, Do Kwon’s final destiny hangs within the steadiness as each the US and South Korea search his extradition.

Do Kwon’s Extradition Battle Takes A New Flip

In mid-March, Bitcoinist reported {that a} Montenegrin appeals courtroom had rejected Kwon’s extradition to the USA however confirmed that South Korea’s extradition request took priority over the US request. Nonetheless, Montenegro’s Supreme Courtroom overturned these earlier selections, reviving US efforts to attempt Kwon on fraud costs. 

Notably, the Supreme Courtroom has acknowledged that the nation’s justice minister will finally decide the place Kwon will likely be handed over, pending a radical examination of the extradition circumstances.

Current developments in the USA have additional sophisticated Do Kwon’s state of affairs. A federal jury in New York has discovered Kwon and his firm, Terraform Labs, liable for defrauding traders who collectively invested billions of {dollars} into crypto belongings that later plummeted in worth. 

The civil grievance, filed by the Securities and Trade Fee (SEC) in February 2023, alleged that Kwon and Terraform Labs engaged in a fraudulent scheme that resulted in a $40 billion lack of market worth. 

Terraform Labs Challenges Verdict

In response to the unfavorable verdict, Terraform Labs expressed disappointment and maintained that the proof didn’t help the jury’s determination. 

The corporate will consider its legal options and subsequent steps, together with a possible enchantment. Terraform had beforehand signaled its intention to problem the SEC’s classification of its tokens as “securities.” 

Kwon’s absence from the courtroom, which restricted his capability to take part within the proceedings totally, might help the enchantment. a Terraform spokesperson mentioned in a press release:

We’re very disenchanted with the decision, which we don’t consider is supported by the proof. We proceed to take care of that the SEC doesn’t have the authorized authority to carry this case in any respect, and we’re fastidiously weighing our choices and subsequent steps.

Finally, this determination aligns with US efforts to prosecute Do Kwon for fraud costs associated to the collapse of TerraUSD stablecoin. Nonetheless, the end result stays unsure as Montenegro’s justice minister will determine the place Do Kwon will likely be handed over, pending fulfilling the circumstances for extradition. 

Terraform Labs’ Luna token, renamed to Luna Traditional (LUNC) after the collapse that triggered authorized motion towards the corporate and its co-founder, is presently buying and selling at $0.0001378. It has skilled a marginal 1% enhance up to now 24 hours. Nonetheless, over longer intervals, the token has suffered losses of as much as 28% up to now 30 days.

Featured picture from CNN, chart from TradingView.com