Terra Designer Blocked From Leaving Country As South Korean Prosecutors Deliberate On Investigations.
A South Korean prosecutor has issued an injunction blocking one of Terra’s top designers from leaving the country.
The South Korean government seems very serious about bringing Terra’s bad actors to book. It is estimated that over 200,000 South Korean citizens lost money when Luna and UST collapsed. After launching investigations into the collapse of Terra, the authorities are now shifting focus to individuals linked to Terra’s developer team.
A recent update from the South Korean media JBTC reveals that one of the top designers of the Terra blockchain has been blocked from leaving South Korea. The nation’s Prosecutor’s Office has issued an order to that effect. It’s not yet established whether the designer in question was planning to flee the country before the block order was issued.
The ban is placed to block the chances that key Terra officials must not suddenly go abroad to avoid further investigation. After such actions, there is a possibility that the prosecution will soon launch a forced investigation, including a search and seizure, as well as ‘summoning terra members. The prosecution is also reviewing if it is possible to charge Kwon and others with criminal acts such as fraud.
Do Kwon Holed Up In Singapore
One key factor that may have informed this decision is the fact that Terra founder, Do Kwon, is currently in Singapore. This may have presented some legal hurdles to the authorities as they work to unearth what transpired when the Terra ecosystem collapsed.
A few weeks ago, the South Korean parliament called on Kwon to present himself and explain what happened. It’s not clear whether this call has been heeded since Do Kwon is not in the country. Kwon and his company, Terraform Labs, are also charged with tax evasion in South Korea and are required to pay close to $80 million.
“Made Enough Money To Buy An Island”
During an interview with South Korea’s media outlets, JBTC, the designer said he had been in contact with Do Kwon. Apparently, Do Kwon told him that he had cashed out a lot of money that could buy an island. The prosecutors are looking into legal avenues to charge Do Kwon with fraud and a number of other wrongdoings.
Investigations Could Be Underway
While the Terra designer remains in the country, prosecutors could take the chance to initiate further inquiries into Terra, and this may include searches and even property seizures. At the moment, the prosecution is involving Terra officials in the investigation. Meanwhile, the travel ban is effected to prevent these officials from fleeing the country like Do Kwon did.
Recently TFL Employees Told SEC That Do Kwon Cashed Out Hundreds Of Millions Of Dollars Months Before Terra Imploded.