Do Kwon awaits final call for extradition in foreigners’ camp in Montenegro: report

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By Harper Lee

People • March 24, 2024, 9:58 p.m. EDT

Published 1 minute ago on

Former Terraform Labs CEO Do Kwon was placed in a “reception center” for foreigners by Montenegrin authorities after his prison sentence ended on March 23, Montenegrin newspaper Vijesti reported. Kwon was also reportedly interrogated by a local inspector for five hours before being transferred to the camp.

Kwon is expected to remain kept in the facility until the local court makes a new decision on his extradition, Vijesti reported. Kwon’s local legal representative, Goran Rodić, deemed the treatment illegal and said he would file a complaint with a local administrative court. The passport of the co-founder of Terra was also confiscated last weekthe local newspaper said.

The Montenegrin court has wavered on Kwon’s extradition in recent weeks. Montenegro’s Supreme Court delayed Kwon’s deportation to South Korea after local prosecutors objected to last week’s ruling, saying the court had exceeded its authority by conducting an “abbreviated” legal proceeding. Kwon was initially expected to be extradited to the United States, a decision that was revoked on appeal.

The Block has contacted Rodić, the Ministry of Justice and the Supreme Court of Montenegro for additional comment.

Upcoming civil trial

In May 2022, Terraform Labs’ Terra and Luna cryptocurrencies collapsed, wiping out more than $40 billion in market value in a matter of days. Following the debacle, U.S. and South Korean officials sued Terraform Labs and Do Kwon for fraud and securities law violations. Kwon was arrested in Montenegro for using counterfeit travel documents in March 2023.

Meanwhile, the US civil trial on fraud charges brought by the Securities and Exchange Commission against Kwon and Terraform Labs is scheduled to take place on March 25.

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About the Author

Danny Park is an East Asia reporter at The Block who writes about topics including Web3 developments and crypto regulations in the region. He was formerly a reporter at Forkast.News, where he actively covered the fall of Terra-Luna and FTX. Based in Seoul, Danny has previously produced written and video content for media companies in Korea, Hong Kong and China. He holds a bachelor’s degree in journalism and business marketing from the University of Hong Kong.

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