U.S. Still Seeks Do Kwon Extradition Despite Montenegro Court Ruling
American prosecutors vowed Thursday to continue efforts towards extraditing embattled cryptocurrency entrepreneur Do Kwon. This comes even as a Montenegro court cleared the way for his likely return to his native South Korea instead.
Key details:
- Do Kwon founded the failed crypto project Terraform Labs and its Terra ecosystem.
- The TerraUSD implosion wiped out $40 billion in investor funds in May 2022.
- A Montenegro court ruled this week that Kwon should be sent to South Korea.
In a statement shared by Bloomberg, the U.S. Department of Justice said it will proceed with Kwon’s extradition case as per American law and treaty agreements with Montenegro.
This despite the Montenegro High Court ruling Thursday that South Korea’s claim for Kwon’s return takes precedence regarding charges over TerraUSD’s demise.
Read more: Terra’s Do Kwon To Be Extradited To South Korea
South Korean prosecutors allege the entire Terra project was fraudulent in nature – accusations that Kwon has denied. Additionally, he faces separate securities fraud charges in the U.S. as well.
Some lawmakers question Do Kwon extradition to South Korea
Some legal experts involved in cryptocurrency cases have already critiqued Montenegro’s judgment. Attorney Terrence Yang called it a “travesty” given the scale of American-based Terra losses.
“The US probably has the largest number of victims by both number and dollar amount.” “It seems a bit ridiculous for the Montenegro court to extradite Do Kwon to South Korea, where he might get acquitted or a comically light sentence as opposed to the United States,” Yang said.
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- Called into question the strength of punishment Kwon may face in South Korea
- Hinting U.S. prosecutors likely have a broader range of victims seeking justice.
South Korean authorities said they have yet to receive formal Montenegro paperwork. However, when processed, Do Kwon appears set to be extradited there to finally face a criminal trial after close to a year in legal limbo.
He had managed to evade authorities following Terra’s collapse before a failed overseas escape attempt led to his March 2023 arrest on false passport charges.
