Minister of Justice Bojan Božović approved extraditing Terraform Labs founder Do Kwon to the United States.
The Montenegrin Justice Minister has signed an order to hand Do Kwon over to U.S. authorities instead of his home country, South Korea, according to local media Vijesti.
Both governments have investigated Kwon and wrestled for his extradition concerning the $60 billion Terra-Luna fiasco.
In 2022, Kwon’s Terra blockchain imploded and wiped out a glut of over-leveraged crypto businesses. The bankruptcy avalanche swept firms like Three Arrows Capital, BlockFi, and even FTX.
Kwon fled as the crypto market depression thickened, and Interpol issued a Red Notice arrest warrant for his capture.
The Terraform co-founder reportedly hid in Serbia, crossed into Montenegro and attempted flying to Dubai using forged passports.
Before Kwon and Han Chang-joon, Terraform Labs’ former finance officer, could board a private plane at Podgorica airport, police in Montenegro’s capital city arrested the pair.
They were jailed for four months while U.S. and South Korean federal prosecutors jockeyed for extradition rights in the background.
The decision swayed between both governments, as several courts in Montenegro overruled extradition orders on multiple occasions. Goran Rodić, Do Kwon’s lawyer in the Balkans, also repeatedly contested extradition orders. On Dec. 25, Montenegro’s Constitutional Court dismissed Kwon’s latest appeal.
Kwon’s company Terraform Labs agreed to sunset its business and the largest settlement fine in the Securities and Exchange Commission’s history — $4.47 billion.
It’s unclear if Rodić will challenge the order from Minster Božović extraditing Kwon to U.S. soil, where he’ll likely be prosecuted for Terra’s collapse.
South Korean authorities also have an ongoing Terra case. If found guilty of breaking local market rules, the maximum penalty would be a 40-year sentence against Kwon.
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