Interpol has issued a red alert in the search for the Do Kwonthe founder of Terraform Laboratoriesa platform of block chain which collapsed and took more than $40 trillion from investors, reports Bloomberg. With this request, authorities around the world have the follow-up order for further extradition, in this case to South Korea.
Who is Do Kwon?
- His full name is Kwon Do-hyung.
- He is South Korean; was born in 1991.
- He is the co-founder and was the CEO of Terraform Labs, which operated the cryptocurrency stablecoin TerraUSD (UST) and the token of this network, Luna. The system crashed in May this year, wiping out its market cap in a week.
- Before the collapse of the environment he created, he was considered a “crypto messiah”.
Do Kwon wanted for justice
The alert issued by Interpol is issued after a request from the South Korean authorities. Kwon already had a warrant for his arrest in that country in connection with a trial in which he is accused of having Offenses against capital market law.
The Singapore police had reported that the founder of Terralabs was not in Singapore, the city where he lived.
Do Kwon’s Mysterious Tweets
On September 17, Kwon posted a series of messages on Twitter denying the charges against him and stating that he was willing to cooperate with the law.
“I’m not “on the run” or anything like that: To any government agency that has shown an interest in reaching out, we are in full cooperation and have nothing to hide,” he wrote in a tweet. “We are defending ourselves in multiple jurisdictions (…) We hope to clarify the truth in the coming months,” he noted in another.
However, in no case did he reveal his geographical location.
Prosecutors said Kwon left Korea to “evade investigation” because he told them through his lawyers that he had no intention of appearing ahead of questioning. “He is clearly on the run. His family members and key financial personnel from the business have also left,” they added.
Kwon did not speak publicly after the Interpol arrest warrant.
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Next gadgetKwon and other Terraform Labs employees are being investigated for financial fraud and tax evasion following the collapse of its stablecoins, TerraUSD, and the Luna token. Many concerned investors have filed complaints accusing him of running a Ponzi scheme, a variant of a pyramid scheme.
Previous reports said one of the investors who lost $1.5 million after the crash showed up at Kwon’s home in Singapore.