Montenegro Court Approves the Extradition of Do Kwon to South Korea

Do Kwon, the founder of the Terraform Labs project, was arrested in Montenegro after the project filed for bankruptcy. Earlier this week, a Minister of Justice in Montenegro approved the extradition order for Kwon.

The law enforcement authorities are now allowed to transfer the accused to either South Korea or the United States. Legal proceedings in this regard are currently underway. High Court of Podgorica has set the terms for his extradition as per the issuance of an official statement.

The final decision on the matter will be announced by the minister of justice as per the court briefing. Following his arrest, Kwon was sentenced to 4 months behind bars when a local court declared him guilty of using a forged passport to flee to Dubai in a private jet.

In June, Kwon was charged with trying to leave the region using a forged Costa Rican passport. The Minister of Justice will issue the final verdict on the extradition of Kwon based on criminal sanctions for document forgery as per court statements.

Law Enforcement Agencies Arrested Do Kwon in March

Kwon was arrested in March this year while attempting to leave the region using fake travel passport and a difference identity. Law enforcement officials from USA and South Korea requested extradition owning to the pending lawsuits in both jurisdictions.

Kwon can face sentencing in various cases that will be processed when he attends the court in the given jurisdiction.  In United States Kwon is facing charges for committing fraud extended by Securities and Exchange Commission and Department of Justice for collapse of TerraUSD and LUNA.

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If Kwon is sent to South Korea he could face a jail-time up to 40-years in the country. Last week, the high court of Montenegro denied an appeal from Kwon for a bail. Therefore, Kwon continued his detainment at the prison.

He was held at Spuz prison near that capital of Podgorica that allowed him to go out for one hour only. On the other hand, European officials have reported that the prison is cramped place and have poor ventilation.

Do Kwon Files Dismissal Motion for Charges Brought by SEC

Do Kwon is now looking at lawsuits and charges on account of Terra ecosystem collapse. His lawyers have filed a dismissal motion at the court of law claiming that he and his company did not breach the Securities Act of the USA.  

The defense has asked the court to drop fraud charges and allegations of violating securities laws. On this account, SEC has claimed that he failed to present substantial evidence of his innocence and the mismanagement of his firm.

The US District Court for Southern District of New York filed on 27th October that Terraform and Kwon discussed cryptocurrencies such as Terra Classic, TerraClassicUSD, and Mirror Protocol are not unregistered securities as per SEC allegations. Following two years of investigation and completion of the discovery process more than 20 depositions were brought against him.

SEC and investigators processed around 2 million paged documents and data. However, the defense have retained that investigators were unable to find the any substantial evidence to prove their allegations. On the other side, regulators have alleged that Kwon and his firm committed fraud by making misleading and falsified statements repeatedly.

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