The latest news had Terraform Labs’ co-founder Do Kwon subjected to a Red Notice from South Korea’s Interpol to lawmaker agencies globally. South Korean Seoul prosecutors told Bloomberg (on September 26) that an international policing group reacted to the allegations Kwon is encountering for the Terra demise through a warning against the co-founder.
Meanwhile, South Korean prosecutors requested a Red Notice against Know from Interpol on September 19, nearly a week before the update. Furthermore, it occurred less than fourteen days after Do Kwon & his five associates joined the arrest warrant list by South Korean lawmakers for allegedly violating the nation’s financial markets policies.
Massive Troubles for Do Kwon
Everyone thought Kwon resided in Singapore before local officials confirmed (on September 17) his absence in the country. The Terra co-founder responded within hours, declaring that he was not running from lawmakers. Nevertheless, he didn’t disclose his location.
Moreover, the ‘fugitive’ made fun of everything, tweeting that he was only cutting calories. However, failure to reveal his whereabouts had South Korean authorities conclude that Kwon wasn’t ready to collaborate and was on the run.
The Interpol (International Criminal Police Organization), which requests lawmakers globally to locate and apprehend the Terra founder, issued a Red Notice (reports from South Korean police). Law enforcers want Do Kwon on suspicion of escaping with crypto worth $45 billion.
The Red Notice is a Wanted Notice that Interpol sends at a member nation’s request & distributes to global Interpol members, requesting the wanted person’s extradite, surrender, or partake in any comparable legal move.
Losses Amid the Terra Crisis
CoinGecko data shows UST and LUNA had their combined market capitalization plummeting by around $45 billion within only seven days following the implosion.
That welcomed a liquidity crisis that had crypto hedge firms and lenders, including Three Arrows Capital, Voyager, and Celsius failing. Meanwhile, Emails requesting commentaries from Interpol and Do Kwon didn’t see prompt answers.
Meanwhile, Do Kwon tweeted that Terraform is defending itself in multiple legal actions. He trusts the South Korean authorities will cooperate with anyone interested in connecting with them. Events turned after the distressing fall of UST, a stablecoin that de-pegged from USD in May.