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Arrested: This is what Do Kwon is in for

After alleged crypto fraudster Do Kwon was arrested in Montenegro on March 23, converging reports say the Terra Luna founder is now facing a flood of lawsuits.

By Finst News
• 2 min read
Arrested: This is what Do Kwon is in for

After alleged crypto fraudster Do Kwon was arrested in Montenegro on March 23, converging reports say the Terra Luna founder is now facing a flood of lawsuits.

South Korean authorities, the U.S. Securities and Exchange Commission (SEC), and the U.S. Attorney's Office in New York have filed fraud charges. Now Korea and the U.S. are wrangling over Do Kwon's extradition. Montenegro has an extradition treaty only with the United States. However, the agreement applies only to U.S. citizens or when U.S. citizens are involved. That latter aspect is a key criterion.

According to Cointelegraph, Do Kwon is charged with eight counts, including securities fraud, conspiracy to commit fraud, and market manipulation. The defendant allegedly made misleading statements about Terra's stablecoin, Terra Classic (USTC), and its link to the U.S. dollar, according to the prosecutor.

Because Do Kwon allegedly used forged travel documents from Costa Rica, he is also charged by Montenegrin authorities. According to Interior Minister Filip Adzic, the arrest happened at Podgorica Airport.

Kwon went into hiding after Terra Luna's collapse in May 2022 and has been sought by Interpol since.

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