According to the report, South Korean authorities are chasing bankrupt Terra’s former co-founder Daniel Shin (Shin Hyun-Seong) to arrest after catching Do Kwon in Montenegro while boarding a flight with fake documents.
The authority is suspecting the involvement of many colleagues of Do Kwon in promoting risky opportunities through Terra and TerraUSD tokens. There have been arrest warrants issued against three investors and four engineers.
The accusations against the co-founder consist of several offences, such as fraud, failure to fulfil responsibilities, breaking the law related to capital markets, and unauthorised collection of funds.
The report from a popular news magazine stated that South Korean prosecutors are making a fresh attempt to arrest Shin and detain him in the country. However, there is no official statement given by the authority.
However, the regulators already requested Shin Hyun-Seong to cooperate in the ongoing investigation on Do Kwon.
Officials had accused Shin of making around $105 million through the illicit trade of LUNA tokens before the collapse of Terra. However, Shin refuted this allegation that he had no connection to Terra after January 2020.
Do Kwon was apprehended at Podgorica airport in Montenegro and detained by the authorities for 72 hours. However, after the approval from the local court, the detention of Do Kwon was extended for 30 days.