Where is Do Kwon? Interpol issues arrest warrant for Terra founder as LUNC price plunges
Interpol has issued an international ‘red notice’ for Do Kwon, the co-founder and CEO of Terraform Labs – the company behind the stablecoin terraclassicUSD (USTC) and its sister token terra classic (LUNC) that both collapsed in value in May 2022.
South Korean prosecutors in Seoul on 26 September told Bloomberg that Interpol had issued the notice regarding Kwon. It comes after a South Korean court put out an arrest warrant on Kwon earlier in September and asked Interpol to circulate a red notice on him.
Five other individuals associated with Terraform Labs also have arrest warrants out on them in South Korea, accusing them of violations of the nation’s capital markets law.
The collapse of Terraform Labs resulted in $40bn (£37bn) of investor’s money being wiped out, which also fed into the current crypto bear market, and a hard fork that led to a new version of terra luna (LUNA).
LUNA to USD
An Interpol red notice is a request to law enforcement agencies worldwide to “locate and provisionally arrest a person pending extradition, surrender, or similar legal action”.
According to Interpol, “criminals can flee to another country to try to evade justice. A red notice alerts police worldwide about internationally wanted fugitives.” However, the international police organisation stressed a red notice is not an international arrest warrant.
Red notice: LUNC drops and rebounds
In the immediate aftermath of the red notice, LUNC fell by 10% according to CoinMarketCap. However, LUNC has since bounced back from this fall and earlier on 26 September it was trading up 36.88% at $0.0003094. USTC was also up by12.16% to $0.03374.
Kwon himself has gone dark on Twitter since 17 September. One of his last comments was: “I am not ‘on the run’ or anything similar – for any government agency that has shown interest to communicate, we are in full cooperation, and we don’t have anything to hide.”
The co-founder added that he would tell anyone where he is if they are a friend of his, have plans to meet each other or you are involved in a GPS-based Web 3.0 game.
Dear CT - I will tell you what i am doing and where i am if:
— Do Kwon ???? (@stablekwon) September 17, 2022
1) we are friends
2) we have plans to meet
3) we are involved in a gps based web3 game
Otherwise you have no business knowing my gps coordinates
Kwon went on to ask if others “would be comfortable with the same level of invasion of privacy for yourself”.
He also added: “We are in the process of defending ourselves in multiple jurisdictions – we have held ourselves to an extremely high bar of integrity and look forward to clarifying the truth over the next few months.”
What is your sentiment on LUNA2/USD?
Radio silence from Terraform Labs
Terra’s official Twitter channel has also not attempted to address the issue of Interpol’s search for Kwon.
Terraform Labs did not immediately respond to Capital.com’s request for a comment. Nor did it respond when Capital.com asked for a comment in regards to Kwon having an arrest warrant placed on him by a South Korean court.
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