The Balkan country’s foreign minister, Filip Adzic, said Do Kwon had become “one of the most wanted fugitives.”
“The former ‘cryptocurrency king’, who is behind the losses of more than $40 billion, was detained at the airport in Podgorica with false documents. He is wanted by South Korea, the US and Singapore. Awaiting official confirmation of identity,” the official tweeted.
In February, the US Securities and Exchange Commission (SEC) sued Terraform Labs and Do Kwon for “organizing a multi-billion dollar fraud.” The SEC filing highlights that Do Kwon and his company, Terraform Labs, were selling “an interconnected set of digital securities in illegal transactions.” The regulator noted the collapse of the algorithmic stablecoin UST, the creation of the USTC token and the associated cryptocurrency LUNC.
The Federal Bureau of Investigation and the Southern District of New York (SDNY) have already interrogated former Terraform Labs employees who dealt with the USTC stablecoin. Investigators talked about the relationship between the South Korean payment platform Chai and the Terra blockchain, which ran USTC.
Law enforcement agencies in Singapore in March launched an investigation into the activities of Terraform Labs, as well as its CEO. Back in February, it was reported that South Korean law enforcement officials went to Serbia in search of the CEO of Terraform Labs and turned to the local government for extradition assistance.
Immediately after an arrest warrant was issued in September 2022, Do Kwon fled from Singapore to Dubai and then to Serbia, according to investigators.
Source: Bits
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