Do Kwon Terra founder released in Montenegro

Do Kwon has been released from prison in Montenegro amid extradition requests from the United States and South Korea.

When the Supreme Court of Montenegro is deliberating over extradition requests from the United States and South Korea, the South Korean crypto fugitive Do Kwon has been released from prison in Montenegro.

Do Kwon Release Amid Extradition Suspension

Bloomberg reported his release from custody on Saturday, March 23. Following the suspension of a ruling from a lower court, the Supreme Court of the United States suspended the extradition of the co-founder of Terraform Labs to South Korea.

Due to the collapse of Terra Luna, which resulted in a loss of nearly sixty billion dollars in market value in 2022, the founder of Terra, Do Kwon, is currently facing fraud claims in both South Korea and the United States.

“We released Do Kwon from prison as his regular prison term for traveling with fake papers ended. Since he is a foreign citizen and his documents were withheld, he was taken for an interview to the police directorate for foreigners, and they will deal with him further.”

The director of the prison, Darko Vukcevic, reportedly said over the phone that the Council of the Supreme Court made the decision to release Kwon. The Council of the Supreme Court will make a decision that could either grant or deny extradition to Do Kwon’s home country of South Korea.

In South Korea, the consequences are relatively less severe than in the United States, where prosecutors are attempting to bring Kwon to justice for the collapse of the TerraUSD algorithmic stablecoin, which occurred in 2022 and resulted in a loss of $40 billion.

Goran Rodic, Kwon’s attorney, also confirmed his release. State television reported that they withheld Kwon’s passport to prevent him from leaving the country.

Rodic, who indicated preparations to petition a court for Kwon to remain free until an extradition verdict, was quoted as saying that Kwon was transported to a refuge for foreigners later on Saturday. State television carried this information, citing Rodic.

The chief prosecutor in the Balkan nation identified procedural mistakes in the rulings favoring South Korea’s request, prompting the Supreme Court to take action.

The court is currently awaiting further legal considerations and has not offered a specific date for the extradition to any country following its announcement on Friday. If the co-founder of Terraform Labs were to be extradited to the United States, he would most likely be charged with eight criminal offenses by legal authorities in March 2023.

It was in March 2023 when Do Kwon was taken into custody in Montenegro to use forged travel documents alongside his colleague, Han Chang-joon, who had previously served as the chief financial officer of Terraform Labs.

To bring Kwon to justice for his alleged involvement in fraud in their respective nations, authorities from the United States and South Korea have submitted dueling extradition requests, however, no final decision has been reached.