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Do Kwon Extradition Approved, But to South Korea or the United States?

The court of Montenegro has approved the extradition of the former Terraforms Labs CEO. The Minister of Justice has yet to decide which country will get him.

Do Kwon Extradition

After the collapse of Terra in May 2022, founder and former CEO of South Korea-based Terraform Labs, Do Kwon, went on the run with his associate Han Chang-joon. The two were arrested by Montenegrin authorities in March for travelling with falsified documents. Do Kwon was sentenced this June to four months in prison for using fake passports. The court denied his appeal in November. 

Read our summary, One Year Since the Terra Collapse, to get more details about ongoing legal proceedings involving the company and its founder, Do Kwon.

Meanwhile, South Korea and the U.S. have both been seeking the extradition of Kwon from Montenegro, threatening him with significantly stricter sentencing for multiple counts of securities fraud, wire fraud, conspiracy to commit fraud, violation of public offering, market manipulation, and more.

On November 24, the court of Montenegro said that it had approved the extradition of Do Kwon. According to the statement, the legal prerequisites for his extradition were met at the request of both the Ministry of Justice of the Republic of Korea and the Ministry of Foreign Affairs of the U.S. 

Do Kwon has already given consent to extradite him to South Korea under a simplified procedure. But the final ruling is to be made by the Montenegran Minister of Justice, who will decide which country has priority in this case. This decision will be made after Do Kwon finishes his current sentence.

It is unclear which option would be better for Do Kwon, as both countries have a full hand of allegations and a clear desire to publicly punish him. Dan Sunghan, a senior South Korean prosecutor heading the investigation, has said that Kwon’s extradition to South Korea made more sense “when it comes to bringing justice or recovering the damages for victims.”

However, he has also stated that it is possible Do Kwon will be sentenced in both jurisdictions on distinct charges. It is possible that the country which first gets Kwon will sentence him for a (life) long period, which means that the other will have to let the story go, at least for now.

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