Montenegro Court Denies U.S. Extradition Request for Terraform Labs’ Do Kwon
The Appellate Court of Montenegro has confirmed a previous ruling to extradite Do Kwon to South Korea.
According to the press release by the Court of Appeal of Montenegro, the court has rejected the United States’ request.
Key points:
- The Appellate Court backed the High Court of Podgorica’s earlier judgment.
- South Korea’s extradition request was prioritized over that of the United States.
- The court cited the order of arrival of extradition requests as a deciding factor.
- Montenegro’s Minister of Justice retains final authority on the extradition.
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Do Kwon’s Terra collapse remains one of the largest crypto failures
Terraform Labs co founder Do Kwon has been at the center of legal scrutiny since the collapse of the Terra ecosystem in May 2022. The incident resulted in approximately $40 billion in losses.
The collapse of the ecosystem also affected several businesses and the overall cryptocurrency market. The court’s ruling follows a period of legal proceedings and conflicting decisions.
Kwon’s legal troubles intensified in March 2023, when he was arrested in Montenegro for attempting to use false travel documents. This arrest sparked a competition between South Korea and the United States to secure his extradition.
The U.S. SEC had previously brought charges against Terraform Labs and Kwon regarding the stablecoin TerraUSD (UST). In a separate development, Terraform Labs reached a $4.47 billion settlement with the SEC in May.
However, the extradition process is not yet complete. Montenegro’s Minister of Justice holds the final say on the decision.
