Kwon and Done: Montenegro Rules For South Korea Extradition Over U.S.

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As a seasoned crypto investor with a keen eye for market trends and legal battles alike, I find myself closely watching the Do Kwon saga unfold between the U.S. and South Korea. Having lost a significant portion of my portfolio to the Terra LUNA collapse, I can’t help but feel a sense of personal vindication as the scales tip in favor of South Korea.

In simple terms, the Appellate Court in Montenegro has chosen to send Do Kwon, the founder of Terraform Labs, back to South Korea instead of complying with a different request from the United States. A specific date for the extradition process has yet to be determined.

Court Rulings and Legal Proceedings

The struggle over Do Kwon’s custody between the U.S. and South Korea persists. In the recent turn of events in this extradition fight, a Montenegrin court has chosen to send Terraform Labs’ founder back to his home country, South Korea.

The Montenegrin Appellate Court upheld a previous ruling from the Podgorica High Court, directing that Mr. Kwon be returned to South Korea. This decision follows prolonged legal arguments between Kwon’s legal team, courts, and prosecutors regarding the proper venue for his extradition, which had been ongoing for several months.

Background and Charges

Since the crash of their algorithmic stablecoin, Terra LUNA developed by Do Kwon and his firm, Terraform Labs, there has been significant investigation into their activities. This event led to approximately $40 billion in losses. In February 2023, the U.S. Securities and Exchange Commission (SEC) brought charges against Kwon and Terraform Labs. By May of the same year, a settlement was reached. Under the terms of this settlement, Terraform is required to pay $3.58 billion in restitution and an additional $420 million as a civil penalty. Furthermore, the agreement stipulates that Kwon cannot serve as an executive or board member for any publicly-traded company.

The U.S. vs. South Korea

Kwon’s lawyers have repeatedly pushed for his transfer back to South Korea, a country that imposes a maximum penalty of 30 to 40 years for financial crimes. It was South Korea who initially made the request for Kwon’s extradition.

Instead, U.S. legislation permits back-to-back prison terms for multiple offenses, which could result in significantly extended incarceration periods.

In contrast to these court rulings, there have been numerous instances where decisions regarding Kwon’s extradition have been reversed, highlighting the intricate legal battles between the U.S. and South Korea. Initially, the High Court of Podgorica decided to transfer Kwon to South Korea; however, Montenegro’s Supreme Court intervened, causing a delay after a senior prosecutor contended that the lower court had overreached its jurisdiction.

Final Decision Pending

As a researcher, I find myself in a position where I must follow the developments regarding Kwon’s extradition closely. Although a recent court ruling seems to favor South Korea, no extradition date has been set yet, and it rests with Montenegro’s Minister of Justice to make the final decision.

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2024-08-02 18:13