Do Kwon, the troubled founder of Terraform Labs, along with his ex-CFO, Han Chong-joon, are grappling with an array of charges that range from passport fraud to severe financial misconduct. Their legal predicament might just be starting, with potential extradition to countries, like the U.S., known for their stringent stance on crypto-related malpractices.
In a recent development, the Montenegrin capital Podgorica’s high court rejected their bail, counteracting the previous ruling of a lower court, as reported by Bloomberg. The court spokesperson, Marija Rakovic, confirmed this shift, announcing that Kwon will stay in detention.
The high court’s decision now necessitates the Basic Court in Podgorica to reassess the case. The number of bail-related motions to be submitted between the judges for these South Korean citizens is not capped.
Only two weeks earlier, Kwon had managed to secure a bail agreement worth €400,000. However, prosecutors challenged this decision, leading to the current ruling. Given the defendants’ potential flight risk, their bail request initially faced opposition.
In March, Kwon and Han were detained at a Montenegro airport for purportedly using counterfeit travel documents, following a months-long evasion. They maintain their passports’ authenticity. Kwon vanished soon after Terra/Luna’s downfall, which led to a market crash obliterating $45 billion in market value within a mere week.