Do Kwon to Appeal Against Extension of Detention by Court

Do Kwon, the co-founder of Terraform Labs, reportedly plans to challenge the court’s judgment to prolong the jail term by a period of thirty days.

According to the local media outlet Vijesti, a lawyer for Kwon acknowledged the appeal against the court’s order to hold the businessman for a longer period of time than normal. The decision has been made in response to Kwon’s arrest for attempting to board a flight to Dubai while using forged documents at the Podgorica airport.

Despite the fact that Kwon’s imprisonment was extended by 30 days, rather than the usual 72 hours, Montenegro’s authorities agreed to it after prosecutors pointed out the significant likelihood of an escape. 

Do Kwon was deemed by the court to be a foreign national whose identification was unclear. On March 23, only a few hours after he had been formally imprisoned in Montenegro, the news was released that US officials in New York had accused him of fraud.

Do Kwon Accused of Fraud

Do Kwon is wanted at the highest level for being apprehended and charged and has a Red Notice issued against him by Interpol. As reported by TheCoinRise, there have been multiple indications that Kwon was frequently changing locations ever since the Terra ecosystem collapsed, including Singapore, Dubai, Seychelles, Mauritius and Serbia.

The collapse of LUNA and TerraUSD did have broader effects on the cryptocurrency industry as a whole, with a knock-on effect on some companies’ survival. For instance, popular cryptocurrency lenders Celsius Network and Voyager Digital were driven by the crash.

The troubled cryptocurrency lender Celsius made an announcement in May that it was seeking bankruptcy protection after customers’ withdrawals were suspended. 

At the time, Celsius claimed that although up to 100,000 of its customers are listed on its website, significant funds were required to support some operations while the reorganization process was taking place.

In a similar way, Voyager Digital declared bankruptcy months after the demise of LUNA and the TerraUSD shocked the whole crypto industry.