Shop Sephari

A South Korean court has approved the prosecution’s request to seize assets belonging to Terraform Labs co-founder Shin Hyun-Seong over his role in the collapse of the Terra (LUNA) ecosystem. 
In particular, the court approved the confiscation of 140 billion won ($104 million) in profits Hyun-Seong earned for reportedly selling pre-release LUNA at a high price without informing ordinary investors, South Korean local publication YTN reported on November 17. 
Notably, the decision by the court comes as a pre-trial precaution to deter possible disposal of the proceeds before the accused is handed over for trial. 
The prosecution’s request is part of an ongoing investigation against Hyun-Seong for allegedly making profits illegally while launching the Terra ecosystem-related assets. At the same time, the accused reportedly leaked customer transaction data of his other firm Chai Corporation to Terraform Labs. 
Notably, freezing Hyun-Seong’s assets is part of the initial steps by South Korean authorities to build a case against Terraform Labs following Terra’s high-profile collapse. 
Although regulators are accusing the platform’s founder, Do Kwon, of violating the country’s capital market laws, a recent report indicated that the government was struggling to form a concrete case against Terraform Labs. 
At the center of the issue is the lack of laws specifically targeting the cryptocurrency sector at a time Kwon remains on the run despite an existing Interpol red notice issued against him. 
Besides denying being on the run, Kwon also maintains his innocence over allegations of engineering the collapse of the Terra ecosystem. In the meantime, Kwon also has an existing arrest warrant against him. 
According to the prosecution, it’s making its best efforts to prove Kwon is guilty while noting that the lack of clear crypto regulations does not rule out the investigation’s progress. 
The prosecution’s initiative to prosecute the case was dealt a blow after the court turned down a request to detain individuals linked to the Terraform Labs ecosystem.

Check your inbox or spam folder to confirm your subscription.

By subscribing you agree with Finbold T&C’s & Privacy Policy
Copyright © 2022 FINODES LLC. All rights reserved. Use of this site constitutes acceptance of our Terms of Service.
WARNING: The content on this site should not be considered investment advice. Investing is speculative. When investing your capital is at risk. This site is not intended for use in jurisdictions in which the trading or investments described are prohibited and should only be used by such persons and in such ways as are legally permitted. Your investment may not qualify for investor protection in your country or state of residence, so please conduct your own due diligence. This website is free for you to use but we may receive commission from the companies we feature on this site.


Shop Sephari

Leave a Reply