South Korea has started making moves to freeze digital assets believed to be owned by Terra’s co-founder Do Kwon. Authorities detected that 3,313 BTC (approximately $67 million) were recently sent to two crypto exchanges from a wallet tied to Kwon’s Luna Foundation Guard, according to a Bloomberg report.
Per the report, prosecutors noted that the bitcoins were sent to specific accounts on crypto exchanges, KuCoin and OKX, adding that they had asked the concerned exchanges to freeze the assets so Do Kwon would no longer have access to them.
The development is South Korea’s latest move in its investigation of Terra’s collapse and it comes shortly after Kwon was declared wanted across the world.
Investigations Into Terra’s Collapse
After the crash of Terra’s native tokens, LUNA and UST, South Korea instigated a probe into Terraform Labs, to find out the reason behind the crash as it resulted in huge losses for investors.
Prosecutors raided seven local crypto exchanges and seized materials such as transaction records from the exchanges. The homes of some individuals suspected of having a connection to the case were also ransacked.
To gather more information, the Seoul Southern District Prosecutors’ Office in South Korea reportedly summoned Kwon to speak to him about his company’s alleged violations of capital markets law with regard to the substantial financial losses incurred by investors because of Terra’s collapse.
The prosecutor’s office noted that the Terra co-founder refused to cooperate as he replied through his lawyer that he was not ready to respond to the summons immediately. As a result, a South Korean court issued an arrest warrant against Kwon.
Believing that he has traveled outside the country, which thus makes the warrant invalid, the Prosecutor’s Office asked Interpol, an International Criminal Police Organization, to issue a red notice against the Terra co-founder so that he could be located and arrested wherever he is. The request for a red notice was reportedly granted on Monday and law enforcement agencies from 195 countries are on the lookout for Kwon.
Kwon Says He’s Not Hiding Despite Interpol’s Red Notice
Meanwhile, Kwon tweeted on Monday that he is not making any effort to hide from anybody, including the government agencies that are looking for him. Kwon added that he has been moving around publicly for the past couple of weeks, noting that he takes walks and even goes to malls.
Yeah as i said im making zero effort to hide
I go on walks and malls, no way none of CT hasnt run into me the past couple weeks
— Do Kwon ???? (@stablekwon) September 26, 2022
