The head of Terraform Labs stated that he is not “on the run” and has nothing to hide

Do Kwon denies accusations of non-cooperation by prosecutors

19.09.2022 - 09:00


2 min

What’s new? Terraform Labs (TFL) founder Do Kwon posted a tweet on September 17 stating that he is not “on the run,” has nothing to hide, and is open to cooperating with any government agency that shows an interest in communication.

TFL situation. Kwon’s statement was in response to a report from the South Korean prosecutor’s office that law enforcement officers could not locate him. According to the representatives of the prosecutor’s office, Kwon is “obviously on the run” and “is not cooperating with probes.” The South Korean news agency Yonhap reports the news.

News on the Yonhap website

According to Financial Times, the prosecutor’s office also asked Interpol to put Do Kwon on the wanted list.

News on the FT website

What else is known about the case against Do Kwon? In late May, the South Korean prosecutor’s office opened an investigation into TFL employees on suspicion that they knew about the possible collapse of the Terra blockchain ecosystem. Main developers were later banned from leaving the country. The tax authority also reported that TFL was laundering money through a shell company. In June, SEC also opened an investigation into Do Kwon. He is suspected of involvement in the trading of unregistered securities through the Mirror protocol, created on the Terra blockchain.

In September, a South Korean court issued an arrest warrant for Kwon and five other company employees. The decision was based on a violation of the local Capital Markets Act.

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