Terra Labs Executive & Key Aide Of Do Kwon Arrested By Prosecutors.
After investigations by South Korean prosecutors, an arrest warrant for one of Do-Kwon’s key aide was issued. Prosecutors has been investigating the collapse of Terraform labs, where investors lost more than $40 billion dollars. They confirmed that South Korean authorities has arrested an executive of Terraform Labs who was reported trying to flee the country.
Head Of General Affairs At Terra Arrested
Yoo Mo, the head of general affairs at Terra, has reportedly been detained by South Korean authorities. Seoul Southern District Prosecutor’s Office’s Financial and Securities Crime Coalition Unit (Chairman Dan Sung-han) has requested the arrest warrant for Yoo Mo. Yoo is regarded as Do Kwon’s top assistant at Terraform Labs.
The prosecution said that Yoo engaged in a form of “market creation” by making it appear as though currency transactions were happening right away. They claimed that he used “bots” to manipulate and inflate prices in order to make it appear as though coins were traded frequently.
On the 13th of September 2022, the South Korean court issued arrest warrants for 6 key people in Terra Labs and this mark the first key arrest in the ongoing Terra investigation.
Pressure Mounting On Do Kwon
According to the announcement of the Ministry of Foreign Affairs, if the representatives of Do Kwon does not return the passport within 14 days, the current passport will automatically becomes invalid. As a result , it is expected that ‘invalidation measures’ will be taken on Do Kwon’s passport after the 19th .
Not only the South Korean government but even Interpol are looking for Do Kwon. Before getting to Do Kwon, the authorities might be trying to get his inner circle first. Kwon, though, has asserted that he was not running away in a tweet on 18 September 2022.
We are in the process of defending ourselves in multiple jurisdictions – we have held ourselves to an extremely high bar of integrity, and look forward to clarifying the truth over the next few months
— Do Kwon 🌕 (@stablekwon) September 17, 2022
The price of Terra Classic (LUNC) has been a hot topic for the past few weeks. Big crypto exchanges has start to list it back on the market and has been gaining a little traction for the past few days. Seems like it is down around 4% today due to the news coming out about Do Kwon.