Terra’s Do Kwon Denies Hiding Amid Red Notice Arrest

Do Kwon

Do Kwon, co-founder of Terraform Labs and the subject of South Korean allegations related to a $60 billion crypto wipeout, refuted reports that he was hiding after Interpol issued a red alert for his arrest.

Prosecutors in Seoul claimed Interpol had asked law enforcement agencies worldwide to seek and apprehend the disgraced 31-year-old crypto entrepreneur. 

Kwon responded on Twitter on Monday, September 27, 2022, saying he was “making zero effort to conceal,” continuing, “I go on walks and malls.”

The wanted Terraform Labs co-founder also said, “I’m writing code in my living room,” insinuating that he never saw his name posted on Interpol’s red notice list. “For something that has notice in the name, it sure gives no notice,” he added. 

Kwon and five other people have been charged with crimes, including breaking capital markets law.

Do Kwon No Where To Be Found

The public is not given access to all the names on Interpol’s red notice list. According to South Korean authorities looking into the issue, Kwon left for Singapore in the last week of April, before the terraUSD and Luna coins collapsed in May. The collapse lost approximately $40 billion, analysts say.

On Monday (September 27), Kwon identified Singapore as his location via his Twitter account. However, it is still unknown where he is now after Singapore police indicated earlier today that he was not in the city’s vicinity.

 Do Kwon

South Korean authorities did not confirm if they had learned Kwon’s whereabouts. “Finding and intercepting someone is challenging. Every time, the circumstance is different,” they expressed. 

The Seoul Southern District Prosecutors’ Office stated, “We’re trying everything in our power to catch him.”

In addition, South Korean prosecutors have urged Seoul’s foreign ministry to revoke Kwon’s passport after he previously informed authorities through his attorney that he had no plans to show up for interrogation.

Many Investors Lost A Fortune

Thousands of investors were impacted by the collapse of the terraUSD and LUNA coins, many of whom had been deceived by a plan that allowed users to lend their Terra for a 20% return.

Kwon is being sued in South Korea and the United States in class action lawsuits for allegedly defrauding investors. The South Korean Securities and Exchange Commission is looking into Terraform Labs’ marketing strategies.

The head of the Cryptocurrency Research Center at Korea University, Kim Hyoung-Joong, said, “Prosecutors are keen to punish him (Do Kwon) as an example, but it is a different matter if he will actually be found guilty in court.”

He further stated, “There has been no legal precedent in South Korea where crypto investments were seen as an investment contract, as claimed by prosecutors.”

Terraform management has disputed any fraud or breach allegations targeted at their company.

Jomar Teves

Jomar Teves