Terra (LUNA) founder Do Kwon said South Korean authorities have not contacted him or filed a lawsuit against him. Recently, Kwon is reportedly preparing a lawyer from a Korean law firm to face the investigation.
Do Kwon Prepares Lawyer, Responds to Investigation on Terra (LUNA)
In an interview with startup Crypto media Coinage, Kwon was asked about plans to return to South Korea from his current residence in Singapore.
The Terra executive said he had a hard time making that decision. The reason is that Terra has never had any contact with investigators and has never been charged with any lawsuits.
Most recently, Kwon is reported to have hired a team of lawyers from South Korea to prepare legal action in response to an investigation conducted by the South Seoul District Prosecutors’ Office.
South Korean local media reported that Kwon had submitted a letter of attorney to the South Seoul District Prosecutors’ Office.
The Joint Security and Financial Criminal Investigation Team of the Prosecutor’s Office has investigated and collected transaction records and other evidence related to the failure of the Terra ecosystem.
On July 20, a total of 15 locations including seven crypto exchanges, companies linked to Terraform Labs and the homes of associated individuals were raided and inspected.
Prosecutors are said to have ordered Kwon to notify him when he returned to South Korea. In addition, the Prosecutor’s Office has banned employees and former employees Terraform Labs leave the country.
However, the prosecution has not yet made any arrests.
Teacher Watchers reported, Kwon has repeatedly stated he plans to cooperate with the authorities when the time comes. Responding to Coinage’s question about the chances of a prison sentence, Kwon simply said life is a long journey.
Regarding the fall of the Terra ecosystem, Kwon said he didn’t think about the opportunity at all. However, he still feels responsible.
Kwon emphasized, “If the opportunity does exist, then the blame is on the individual who created the vulnerability. I am alone responsible for any weaknesses that others can take advantage of to gain from Terra’s downfall.”
Terra (LUNA) collapses from price all-time high US$119 to US$0.000009 according to CoinGecko data. The decrease was due to the system stablecoin the Terra USD algorithm (UST) which experienced a stake failure and then dragged LUNA when its value plummeted. [ed]